I rolled over a 401K to a Roth IRA. I expected to owe taxes on the rollover amount, but I've received no paperwork indicating that.

Forum|Forum|7 years ago
June 1, 2019
1 reply
16 views

The 401K company sent me a 1099-R that says I owe $0 taxes (distribution code G), and my IRA company sent me a consolidated 1099-DIV that says nothing about the rollover. Shouldn't I be receiving something that says I owe taxes for converting to a Roth?

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Best answer by ChristinaS

The 1099R doesn't usually (or ever, more likely) disclose the taxable event of 401k to Roth IRA. Obviously you still need to indicate that you rolled it into a Roth. A Form 5498 should disclose this (taxable) event. Form 5498s aren't themselves entered into tax returns, but the IRS gets them and would compare against the reporting of your 1040.

After you enter the 1099-R into Turbo Tax, you are eventually asked if you rolled it into a Roth IRA. You are asked this even if your code is a G. Ensure that you make this selection and are taxed on the rollover.

ChristinaSAnswer

Level 10

SteamTrain

Level 15

you do need to talk to that IRA company about why they sent you a 1099-DIV form though.....you shouldn't get one from them unless you ALSO have some kind of normal-taxable holdings at that IRA provider.

Make sure both you...and the provider, have your account setup clearly defined as to what are the IRA/RothIRA holdings, and what are Personal-taxable account holdings.

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*