We received a distribution on a 401k in 2 checks. The 1099R shows the total amount as a rollover. Both checks were made out to the bank Mutual Fund Management, but the second check was inadvertently deposited to our saving account by us rather than to the IRA account. So we need to show the amount as taxable income on line 15B of form 1040. Since it was a mistake on our part there is no error on the 1099R. I can just override the amount on the 1099R worksheet Line 1, but is that the best way to handle this?
