My Wife received Form 1099-R for distribution on IRA Account to direct rollover to her New Employer. The Form 1099-R has Code H in box 7 (Distribution Code) and the "IRA/SEP/SIMPLE" box is checked. The Tax now shows we owe a large Tax Amount. Should she have receive another form from her current Employer, where she had directly rollover this distribution? How do we offset the 1099-R so that it will show she have not actually withdrawn her IRA Account?
