Soooo. My father retired in 2002. His pension income comes from 2 different plans (from the same employer, but it's managed by different companies) and they are reported on 2 separate 1099-R forms each year. Each 1099-R is for different gross amounts, but those amounts remain the same (did that make sense?) So for 20 years we get the same two 1099-R forms that have the same info every year. Not a deviation ever.
So THIS year (tax year 2021) one of the 1099-Rs has switched to a W-2! The numbers are the same, but are now reported as wages I guess. I was wondering if anyone knows how the switch benefits the company? What do they GAIN by making this switch? Will my father be at any sort of disadvantage tax-wise because of the switch? In other words, is this change to his detriment as a tax payer? Or it doesn't matter at all tax wise?
