DaveF1006
Expert Alumni

Retirement tax questions

Here is how to report your 1099R.

 

1. Open TurboTax and Start Your Tax Return:

  • Log into TurboTax and start a new tax return or continue your existing one.
  • Navigate to the Wages & Income Section:
  • From the main menu, select "Federal Taxes" (or "Income & Expenses" if you're using a later version).
  • Under the "Income" section, find and click on "Distributions" or "Retirement Plans and Social Security" (the wording may vary depending on the version of TurboTax you are using).

Enter 1099-R Information:

  • Look for an option that says "IRA, 401(k), Pension Plan" and select it.
  • When prompted to enter information about your 1099-R, you'll be asked to input the details from the form.

Input the 1099-R Details:

  • TurboTax will ask you to enter the information from your 1099-R form. This includes:
    • Payer’s name and address (from the 1099-R form).
    • Box 1: Gross distribution (this is the total amount).
    • Box 2a: Taxable amount (this is usually the taxable amount from your military pension).
    • Box 7: Distribution code (for military retirement, it typically shows "2" or "7," depending on whether it is an early or regular distribution).

Special Handling for Military Retirement:

  • If you have a military retirement, TurboTax may ask if your distribution is from a military pension or a similar retirement plan. Select "Yes" if this applies to you.

Now since this was money that was paid to your ex-wife as alimony, you may exclude the taxable amount that is on Box 2A according to IRS Topic 452.  

 

  • Log into your account 
  •  Select Wages and income
  •  Less Common income 
  •  Miscellaneous Income, 1099-A, 1099>start
  • Scroll to the bottom of the page to Other Reportable Income
  •  Other taxable income, answer yes 
  •  Then give a brief description of the income and the amount listed.
  •  Once this appears in a summary screen, click on the Add Miscellaneous Income Item and
    then record it as DFAS 1099R Income paid to ex-wife as Alimony  in the dialogue box provided and record the taxable amount in Box 2A of the 1099R with a minus sign in front of the amount. Don't place a dollar sign in front of the amount.

 

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