IsabellaG
Expert Alumni

Retirement tax questions

LSE =Lump Sum Election. This is for when you receive benefits in the current year retroactively for previous years.

Under the lump-sum election method, you refigure the taxable part of all your benefits for the earlier year (including the lump-sum payment) using that year's income. Then you subtract any taxable benefits for that year that you previously reported. The remainder is the taxable part of the lump-sum payment. Add it to the taxable part of your benefits for 2016 (figured without the lump-sum payment for the earlier year).

https://ttlc.intuit.com/replies/4767454

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post