We took our first IRA
distributions in December 2016 and are preparing 2016 tax forms.
In preparing the
8606 regarding the distributions we took from our individual IRA
accounts I noticed that my wife’s account is categorized as a
“rollover” account by my brokerage firm.
We’ve had
simple/traditional IRA accounts with several different brokerage
firms over three decades, and somehow when we once transferred our
accounts hers got labeled a roll over.
In filling out line
7 of her 8606 the instructions say to enter the net amount but do not
include rollovers. This is somewhat confusing. Are rollover
distributions treated differently from distributions from other
simple IRA accounts. Thanks for your help in clarifying this.
