One of the reasons the question may appear relates to information in box 12 of the W-2. 457b plans are non-qualified, deferred compensation retirement plans offered by state, local government and some nonprofit employers. Because participation in these plans are limited to these groups, it is possible a 457b plan is reported on the W-2 with code G in box 12. TurboTax wants to verify that the taxpayer was an eligible participant.
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