Exspouse and military retirement pay

[TomD8]

There's also this:

Beginning Jan. 1, 2019, alimony or separate maintenance payments are not deductible from the income of the payer spouse, or includable in the income of the receiving spouse, if made under a divorce or separation agreement executed after Dec. 31, 2018. 

https://www.irs.gov/forms-pubs/clarification-changes-to-deduction-for-certain-alimony-payments-effec...

[Bubbles1956]

I live in Louisiana where military pensions are non taxable.  I receive a portion on my ex husbands military pension and I am also retired disabled military.  I enter my 1099 and am not supposed to be paying taxes and yet Turbo tax takes out taxes even though my distribution code is 04E and non qualified plan

[Bubbles1956]

military pension is a non qualified plan

[MarilynG1]

Thank you for bringing this to our attention.  We're investigating the issue further, and will report back to you as soon as possible with a solution or workaround.

@Bubbles1956 

[MarilynG1]

The reason that TurboTax deletes your Income Exclusion for 04E, Federal Pension entry, is because a Federal Pension is automatically not taxable in either your Federal or State Returns. 

Here's a workaround to exclude your Military Pension 1099-R from taxes in Louisiana.  Use Code 49E, Other, on the Income Exclusions entry screen.  On the next screen, type in 'Military Retirement Pay' for your description.  This will exclude the income from your Louisiana Taxable Income on Form RES.

@Bubbles1956 

[aloha2you]

MY SPOUSE HAS RECEIVED MILITARY RETIREMENT PAY  FROM HER SEX SPOUSE AND HE PASSED AWAY  IN 

JULY OF THIS YEAR .  I HAVE NOT RECEIVED ANY PAPERWORK FROM THE MILITARY.  HOW DO I FILE  

THAT PARCIAL INCOME FOR THIS YEAR ?

[Vanessa A]

She will need to contact the pension department where her check is coming from to get a 1099-R.  

If she cannot get one that way, she will need to call the IRS at 800-829-1040.  They may have received it and somehow, her copy got lost in the mail.  

If you cannot get a copy of the 1099-R, you can estimate the amount she received based on your records and report it using Less Common Income.

• Income
• Show More next to Retirement Income
• Select Yes you did receive that type of income
• Then on the next screen check the box that says I need to prepare a substitute 1099-R. 
• This will attach form 4852

This will require you to print and mail your return, so it is best to contact the Pension department and the IRS prior to taking this step. 

[TomD8]

@aloha2you --

You can easily obtain a copy of your spouse's missing military retirement 1099-R by following the instructions in this reference:

1099R & W2 Tax Statement Requests (dfas.mil)

[Bubbles1956]

Oh I get a 1099R and my distribution code for Turbo Tax is 04E. For some reason Turbo tax was adding State tax when it shouldn’t. I went in and changed the code to other saved the file then changed it back to 04E and it adjusted to tax free for Louisiana. Weird but it works

[Navysubmariner]

Do you or do you not receive your husbands retirement? You began your message by stating that you receive part of your husband’s retirement and that he didnt supply you with a copy of his 1099. Then you said your alimony stopped years ago. So which is it? If you are receiving part of his military retirement it is considered alimony. And if you divorced prior to 2018 you have to claim it as income on your taxes and your husband gets to claim it as a deduction on his. But yes, he should provide you with a copy of it for your taxes. But don’t you also have access to your bank statements that you can add up the amount you received every month to claim it on your taxes. 

(I am not a. Tax prepayer or attorney, just the wife of a military veteran whose been through a divorce so I know what the exes try to squeeze out of the veterans)

[hokietrax]

Retirement is not alimony. It was once considered that way, and once deductible (and easier to process). Retirement is a division of property if I recall correctly. The only trick is if you don't meet the 10/10 rule, DFAS doesn't handle the money and issue the 1099s. If no 1099s, the retiree should keep receipts of paying the spouse and subtract the amount paid, i.e., negative income. On that line of the return you can say "Military retirement pay to ex-spouse {name, SSN} per USFSPA." And of course inform the ex spouse of what they owe taxes on.