London5
New Member

1099 R and 1035 exchange on non-qualified annuity

I withdrew the full amount of an annuity issued by Insurance Company X. This annuity was issued by X through a 1035 Exchange of an annuity originally issued by Insurance Company Y. The Form 1099 R I received from the Insurance  Company X reports on Section 2a - taxable amount -   only the interest accrued on its annuity: basically it does not include the interest accrued on the original annuity that was 1035 exchanged.

The Insurance Premium indicated on Section 5 consists of the original premium paid to Y plus all the accrued interest;  the distribution code showed on section 7 is D7.

Is this an error made by Insurance Company X, or is there an additional 1099 R that I am supposed to eventually received separately?