No, we discovered this when reviewing the returns. I didn't take a "taxpayer" withdrawal shown in the worksheet in 2021, so we went back to 2020 and confirmed the amounts. After reviewing the payment calculations, that's where we figured out why the math was off. And yes, the IRS was not accepting 5b. Their specific statement in the CP2000 stated we didn't say whether the fund was part of a pension or annuity, but the 1099-R clearly stated it. We also did not select any other option that would indicate it was anything but a 401(k) retirement account.
I'm still waiting to hear back from a TT accountant to confirm, I'm 99% sure they didn't review these forms when sending the CP2000. Good idea on including all of the 8915's, we'll add these and 4684 forms with the reply letter from both 2020 and 2021.
