- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Retirement tax questions
It would have been better if the company had entered the earnings in box 2(a) but if they refuse to correct the form 1099-R, you can follow these instructions to report the earnings on the distribution.
Hopefully, the 1099-R form has code "Q" in box 7, which would mean the distribution would not appear as taxable on your form 1040. To report the earnings, you would make an entry for a substitute form 1099-R in addition to the normal entry, and put the earnings in box 1 and box 2(a). You will see an option to create a substitute form 1099-R on the screen that says Tell Us Which 1099-R You Have when you go to enter the form 1099-R. Code the substitute form 1099-R as "J" in box 7, for early distribution from a Roth IRA.
You will need to provide an explanation for the substitute form 1099-R explaining that the original form was not correct and the broker refused to amend it.
**Mark the post that answers your question by clicking on "Mark as Best Answer"