I am over 59.9 and retired from local government. My first 457(b) contribution, while employed, was February 1, 2017.
In March 10, 2022, I directly rollover my 457(b) to a Roth Contributory IRA at a well known brokerage firm. The start date for the Roth Contributory IRA is the March 10, 2022 date.
The brokerage firm refuses to change contribution start date, even when presented with a letter from the original custodian.
If I take a distribution from this Roth account, the current brokerage firm says it will be reported on a 1099R, box 7 coded as “T” (exclusions apply).
Can I use TurboTax to indicate the original contribution date of February 1, 2017?
I have been using TurboTax for years but have never faced this scenario before.
Thanks
If I take a distribution from this Roth account, the current brokerage firm says it will be reported on a 1099R, box 7 coded as “T” (exclusions apply).
Don't know what your issue is ... the code T is correct. ALL distributions from the IRA would be taxable and exempt from penalty due to your age. Case closed.
Duplicate question answered here:
Thank you, Critter-3 for responding.
Dmertz has also been helpful in discussing this with me as noted in the link below.
Apologies for being repetitive.
I’m over 59.5 and retired. My 457(b) contributions (ex. $10,000} were held for 5 years in the custodian provided by my former employer.
After the 5 year period, the $10,000 was directly rolled over to a Roth Contributory account at a different brokerage firm. This firm is saying that if I take a distribution from that original $10,000, I will be given a 1099R coded as “T” in box 7.
My understanding says that the distribution of $10,000, from the new brokerage, has already met the 5 year holding period over at the custodian provided by my former employer.
In my example above, I am not taking a distribution from any earnings that may have been generated in the Roth Contributory account.