Yes. It does matter that you have entered the information correctly.
When completing your 1099-R information in TurboTax, ensure you are filling the boxes in exactly as they are on your Form 1099-R.
It appears you may have not entered the information that was in box a due to your understanding that it was supposed to be a non-taxable distribution.
However, this is not the correct way to input the information because it may result in errors and IRS Notifications.
If this was a non-taxable distribution from your QLAC that incorrectly shows the distribution as taxable in box 2a, you need to contact your financial institution to request a corrected 1099-R.
However, if the distribution was from an IRA to a QLAC, then you can clear the alert by indicating that the distribution was a "rollover".
To report your non-taxable distribution of funds to a QLAC in TurboTax, do the following:
- Go to Wages & Income
- Scroll down to Retirement Plans and Social Security and click the down arrow
- Select IRA, 401(k)...(1099-R) and click Start
- Click Add a 1099-R
- Answer the questions regarding the 1099-R, ensuring you complete each box correctly
- Click on Continue
- On the, "Tell us if you moved the money through a rollover or conversion", select, "I rolled over...to another retirement account"
- On the, "Did you roll over all of the $ (Box 1) to another retirement account?" select, "Yes, I rolled over $...to a retirement account"
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
