They do if there was any box 4 Federal tax withheld. They get the exact copy of what was entered on the 1099-R screen including the taxpayers name (the same as if the physical 1099-R form was attached to a paper mailed tax return). The federal tax withholding must match what is in the taxpayers (SSN and name on the 1099-R form) withholding account.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
