Do ineed to report 401k moved to Ira i used this money foreisavittb5jjjjjjjjjnjjnnnnjnjjjnnnnnnjjnjjnnjnnnjjjjjjjjjjjnjnjnjjj

[habib551]

I used for surgery

9

[dmertz · Accepted solution]

Yes you must report a rollover from a 401(k) to an IRA.  Enter the Form 1099-R exactly as received under Wages & Income (or Personal Income) -> Retirement Plans and Social Security -> IRA, 401(k), Pension Plan Withdrawals (1099-R), then answer the follow-up questions.

A distribution from your IRA is a separate transaction and must be reported separately by entering the Form 1099-R from the IRA custodian.

[habib551]

My situation is that imoved 20,000 from 401k to IRA,  then from this IRA accountI took 6,000. when iput both 1099R, is telling me that i have an income of 26,000, but i only took  6000 cash.  

[dmertz]

Both distributions are considered to be income, but the rollover from the 401(k) to the traditional IRA is nontaxable income and does not affect your AGI or anything else on your tax return.  Entered properly, you should see that the amount rolled over is excluded form the amount on Form 1040 line 4b and the word ROLLOVER will appear next to the line.  With no other Forms 1099-R, line 4b should show $6,000.