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Retirement tax questions
There are two problems:
1) The IRA/SEP/SIMPLE box can only be checked if this was distribution from a Traditional IRA. If it was then code G is not allowed.
2) Unless all of the distribution was after-tax money (highly improbably) then box 2a cannot be zero. That makes the entire distribution tax free. More then likely if this was a distribution form a 401(k) plan then the issuer of the 1099-R coded it to be rolled into a Traditional IRA and not a Roth. This can happen when you instruct the IRA custodian to deposit the check into a Roth and not a Traditional IRA as specified by the issuer.
So was this a 401(k)?
IS the IRA/SEP/SIMPLE box on the 1099-R checked?
1) The IRA/SEP/SIMPLE box can only be checked if this was distribution from a Traditional IRA. If it was then code G is not allowed.
2) Unless all of the distribution was after-tax money (highly improbably) then box 2a cannot be zero. That makes the entire distribution tax free. More then likely if this was a distribution form a 401(k) plan then the issuer of the 1099-R coded it to be rolled into a Traditional IRA and not a Roth. This can happen when you instruct the IRA custodian to deposit the check into a Roth and not a Traditional IRA as specified by the issuer.
So was this a 401(k)?
IS the IRA/SEP/SIMPLE box on the 1099-R checked?
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
‎June 6, 2019
8:33 AM