disability and form 1099

[witchrule]

I am a 100% disabled veteran and receive VA Disability. I received a 1099 form from my pervious employer. Do I file a return because of the taxes they took out of my retirement plan?

[VolvoGirl · Accepted solution]

Yes.  If you don't owe any tax you can get a refund of the tax withheld.  Did you get a 1099R?   You didn't actually pay the tax.  You had taxes withheld like from your paycheck. You still have to enter the 1099R and whole gross original amount (before taxes were withheld) with your other income to figure out the total tax (and it may put you into a higher tax bracket) and then the withholding is subtracted from the total tax to figure your refund or tax due.  The gross amount shows up,on 1040 line 4a or 5a and the taxable amount on 4b/5b. The withholding will show up on 1040 line 25b.

[TomK2023]

Yes.  Were you classified as 100% disabled veteran before you performed work for your previous employer?  Enter your information from your 1099, the program will determine if you are owed any taxes withheld. 

[witchrule]

I don't have income so how do I file with only a 1099?

[VolvoGirl]

A 1099R is income.   Enter a 1099R under

Federal Taxes Tab or Personal (Home & Business)

Wages & Income at the top

Then scroll way down to Retirement Plans and Social Security,

Then IRA, 401(k), Pension Plans (1099R) - click Start or Revisit

There are 4 boxes.  Be sure to pick the right box for the kind of 1099R you got.

If you are filing a Joint return be sure to pick which person it is for.