@777driver wrote:
I am having the exact same problem. I answer the questions about the CARES distribution and the program does NOT account for the 1/3 income that should be added to this year's numbers.
Also, I assume that the FED TAX deducted from the distribution from last year was all applied to last year and that is not broken up into thirds, is it?
No, the federal taxes withheld on the 2020 distribution was entered on the 2020 tax return. It is not spread out over 3 years.
In the Retirement income section make sure you entered the 1/3 of the distribution in both boxes.
If the 2020 distribution was from an account that was Not an IRA
2020 Form 8915E Line 9 - Enter 1/3 of the amount from the 2020 distribution in both boxes for Line 9
If the 2020 distribution was from an IRA account
2020 Form 8915E Line 17 - Enter 1/3 of the amount from the 2020 distribution in both boxes for Line 17
The 1/3 of the amount from the 2020 distribution will be entered on the 2021 Form 1040 Line 4b if from an IRA or on Line 5b if from a retirement plan other than an IRA
