It depends. just to recap what is mentioned above. If the amount in Box 5 changes, this would affect the taxable amount reported in Box 2A. Let me explain how this works.
Your cost basis ,which is the amount you paid into the plan, is reported in Box 5. Your taxable amount is determined in the following manner.
- Determine the cost basis. This is the amount reported in Box 5.
- Divide your cost basis by the accumulation value to get the exclusion ratio. the accumulation value is the earnings that the annuity has earned throughout the years.
- Multiply your monthly payout by the exclusion ratio.
- Subtract the excluded portion from the total payout.
- What remains is the taxable amount of the annuity.
If Box 5 changes, this would effect the taxable amount of the annuity. You do not need to determine this on your own because Turbo Tax determines this by asking a series of questions in its interview to accurately calculate the taxable portion of your annuity.
Based on this, I advise to amend your return, because the change in Box 5 will affect the taxable portion of your annuity. More than likely, Box 2A will be blank in both 1099R's because the taxable amount would need to be determined by a method I described above. If not, and if the amounts are different, then the issuer of the 1099R may have accurately calculated the taxable amounts based from the basis of the annuity.
In any case, I would advise to amend your return to reflect the change.
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