1099-R treated incorrectly by software?

Forum|Forum|2 months ago
April 1, 2026
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I have two 1099-R from CalSTRS.

#1 is a Rollover from 403b to a different 403b.

#2 is Pension money with tax with held ($55,xxx)

On #2 I check the boxes that say it was NOT rolled over into an IRA.

When I check "I didn't roll over or convert this money" I get a message that says:

"Good news! You don’t owe taxes on your rollover

"You won't have to pay taxes on your $55,xxx rollover from California State Teachers'.

"Since you rolled the entire amount to another retirement account, you don't have to pay taxes on it. This is because you didn't actually pocket the money, but kept it within a qualified retirement account."

This does not seem right. It is 1099-R #1 that was a rollover (for a different $ amount).

VolvoGirl

Level 15

What codes are in box 7 on them? And neither of them should have the little IRA box checked between boxes 7&8.

I would delete the pension and enter it again manually. Did you import them? For the pension if it asks you what you did with it. Pick you got cash. Be sure to go though all the rest of the questions to the end of the retirement section. And FYI - One thing to know is if you go back to edit or view a 1099R entry it resets all the answers to the default and you need to go though ALL the questions again all the way to the very end of the retirement section, keep continuing. They are right unless you go back.

How old are you? Do you have to take the RMD? For a pension, it's whatever they send you. Say all of it is the RMD. If you have a RMD requirement it will ask you if it is the RMD. Say yes and enter the amount as the RMD amount. The pension doesn't need to calculate any RMD. Anything your pension pays you is considered to be the RMD. Traditional pensions automatically fulfill the rules of an RMD. So just enter the same amount in box 1 for the RMD for each 1099R.

@dmertz