I took an early withdrawal from a Roth IRA in December 2015 to purchase a home. IRS regulations state that if the amount is paid back in full within 60 days of the distribution then it will not be subject to the 10% early withdrawal penalty (I'm 40) and it should not be treated as income because as a Roth the initial contributions had already been taxed. Unfortunately, Vanguard produced a 1099-R showing the distribution with the code J which is incorrect because the Roth has met the 5-year age requirement (opened in 1999) and I would not actually incur the 10% penalty until Feb 2016. I am going to pay the amount back in full within the 60-day window so there should be absolutely no tax impact. Unfortunately Vanguard will not produce a 5498 showing my "indirect rollover" payback until May 2017 and I'm not about to give the IRS any taxes in which they are not due. Since Vanguard is claiming they can not correct the 1099-R with code T (I clearly have an exception even if I'm not 59 1/2; they clearly need another code for this scenario) my best option seems to be simply coding the form as T in TurboTax to avoid an inappropriate tax payment rather than not reporting the 1099-R altogether. Any suggestions? Thanks.
