I need help on my last 1099r entry. It's taxing the whole $7500, and I already paid taxes on at least $7000 of it. My financial advisor is telling me I should only have to pay taxes on the gain part of it. I don't know what to do to change the outcome.
OK, this is an early distribution from a Roth IRA. TurboTax will ask after the 1099R what the contributions were to this plan, and your answer should be what they were (which you said is around that $7,000 number in the answer).
When this is answered that will tax only the earnings of approx. $500 in this case.
Go back and Edit the 1099R entry and look for this question, as it has a very big impact on your taxable amount.
To edit pension and annuity Payments (1099-R)
What code in in box 7? What amount is in box 2a as taxable? How did you pay taxes already in the $7K?
J is in box 7 2a is blank and I paid taxes on it before it went in my 401k, and my financial person just moved it
I don’t see where to put that amount I only see the questions that it tells me to put that on my form
right after the 1099R you will get a number of questions that follow and this is where you need to enter the $7K. let me know what screens you see.
OK, this is an early distribution from a Roth IRA. TurboTax will ask after the 1099R what the contributions were to this plan, and your answer should be what they were (which you said is around that $7,000 number in the answer).
When this is answered that will tax only the earnings of approx. $500 in this case.
Go back and Edit the 1099R entry and look for this question, as it has a very big impact on your taxable amount.
To edit pension and annuity Payments (1099-R)