Retirement tax questions
@macuser_22 wrote:
@Trabia78 wrote:
We really appreciate all of your help. What does it mean that the IRS gives us 60 days within which to rollover money from a 401K to an IRA in order to get a Code G in Item 7 of the 1099-R?
The IRS give you 60 days do an indirect rollover for the code 7 1099-R to avoid tax on the money. That does NOT make it a code G it remains a code 7 as a rollover.
Again a code G is for a DIRECT ROLLOVER which means that YOU never received the money. The financial institution that holds the account itself made the transfer to the other account and YOU never saw the money at all. The 60 day rule does not apply to direct rollovers.
This is what it should look line (Online screens might look somewhat different).
