1099R

[debbiedmcleod]

My mother has a 1099R that shows a taxable amount of $95.  The total distribution was $15,095.  The code is 7D.  This is an annuity investment my mother made in my deceased father's IRA account.  She put $15,000 into the annuity two years ago, and it matured in 2024.  Turbo Tax is showing the entire amount as taxable instead of the $95.  Anyone know anything about this?  

[KrisD15]

It shouldn't.

Please go back through the entry and make sure you entered 15,095 in box 1 and 95 in Box 2a. Select both Codes, 7 and D. 

 The IRA/SEP/SIMPLE box should not be checked. 

Only the taxable amount (95) should be listed on the 1040 line 5b. 

[debbiedmcleod]

I have rechecked all of it several times, and everything is entered correctly.  I just deleted the first and redid it.  It still shows that the entire amount is taxable.  

[KrisD15]

Does the program ask if the IRA was inherited? 

Are you looking at Form 1040 to see if it is being reported as taxable? 

Is the IRA/SEP/SIMPLE box checked? 

Here is how to look at the 1040 using TurboTax Online 

[dmertz]

Examine Form 1040.  The entire $15,095 is considered to be income, but if only $95 is in box 2a of the Form 1099-R, you should be seeing only the $95 of taxable income being included on Form 1040 line 5b.  Also, box 5 of the Form 1099-R should have $15,000 in it.  Check to see that all of the boxes on TurboTax's Form agree with those on the Form 1099-R provided by the annuity company.  Make sure that you have not marked the IRA/SEP/SIMPLE box; the code D indicates that this is not a distribution from an IRA annuity.