Thank you, in advance, for helping me with this . . . .
I received a 1099-R for a QLAC distribution showing the distribution as taxable in Box 2a. The QLAC distribution is not taxable. When I prepared my tax return, I entered "0" in Box 2a. It calculated as nontaxable, but evidently there is a snag.
I get an alert on the "Smart Check," where it states, "Form 1099-R: Taxable amount should not be zero if there is no prior year excess traditional IRA contribution on line 4 of the IRA information worksheet." When I look through every single page of the return/worksheets, the only problem I find is under this particular 1099-R is a box labeled "Explanation Statement Smart Worksheet." A box is checked (I don't know why!) for "Return of prior year excess traditional IRA contributions." The instructions there say, "If a box is checked on a line below an explanation statement is required for the situation described on that line. Highlight the checkbox and select the Help to see the required informaiton. Then QuickZoom to the appropriate explanation statement." I could not complete these instructions--when I highlighted the checkbox, I could not select "Help."
I did find (on the initial "Smart Check" message a "Supporting Details" window, which allowed me to type in "Nontaxable QLAC DIstribution" under Description, and "0" under Amount. However, when I repeated the "Smart Check," I received the same, original message . . . so I don't think I remedied anything.
There is no excess Traditional IRA contribution here. I've rechecked my work, and don't know why this came up at all.
If it does not matter, I'll go ahead and e-file my return. I don't like any loose ends like this when I'm dealing with the IRS, though!
Thanks again for your help getting me through this!
