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If 1099-R shows "2" in box 7 and IRA/SEP/SIMPLE box unchecked, what should you enter in 1040 line 16a and 16b?
My taxable amount is less than the gross distribution. I entered gross into line 16a and taxable into 16b. Now it is asking if I entered taxable on 16b on last year's 1040. The firm I went to used the gross distribution as the 2016 1040 line 16b. When I recently asked them why, they said you enter 1099R gross amount into 16b because of "2" and the unchecked box. Were they correct in what they did on 2016 taxes? What should I enter for 2017 line 16a and 16b? If I am correct in what I'm entering this year, should I select "yes" to "did you enter the taxable amount on 16b for 2016?" If I select no, it wants me to calculate using the simplified method.
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‎June 1, 2019
6:05 AM