Bill - Thanks very much for your thoughtful response. My annuity is from a private insurance company - not my employer. The annuity company would not know the basis. They just received the funding from Fidelity as a qualified transfer from my IRA. In addition, Fidelity would also not know that my contributions were all after-tax.
I agree that my annuity is mostly taxable - except for the 15 percent basis that I have calculated and documented. Unfortunately, I do not have a pension administrator who would know the amount of the basis because the annuity is from an insurance company.
I believe it is unlikely that the insurance company would rely on my word that 15% of the premium was funded with after tax dollars and issue a corrected 1099-R.
Thanks again for your prompt response and engagement here. I am really at a loss on how to avoid the double taxation on the 15% basis. Any other ideas you may have would be welcome.
