My wife and I are both federal retirees. When I enter my wife's 1099R, it treats it like a rollover, which it isn't. How do I fix this?

[johnszalay]

When I entered my 1099R, turbotax treated it like a monthly annuity, which it is. My wife's 1099R is no different than mine, but it keeps treating it like a rollover. She gets a monthly annuity, she did not rollover any of it.  TurboTax ask different questions of her 1099R than my 1099R. They should both be similar . I triple checked the entries to make sure they are correct, which they are.

[jtax]

Are either of your wife's 1099-R box 2b checked? Is there an amount in 2a and if so does it equal the amount in box 1? What is the distribution code in box 7?

[johnszalay]

There is no Box2b. Box 2a does not equal Box 1 on either 1099R. Distribution code is 7 on both 1099Rs

[jtax]

Given that, I concur with @TurboTaxAmandaR answer. Delete that 1099-R and re-enter (or import) it. With Dist code 7 it should not be treated as a rollover unless you inadvertently answered a question incorrectly.

[johnszalay]

I deleted my wife's 1099R and started over. It still asks if she rolled over her retirement. I tried again with the same result. I then deleted both of our 1099Rs and began by entering her 1099R first. It still asked her if this was a rollover. When I enter my 1099R, it never asks me this question. I entered all data exactly the same for both 1099Rs. I even selected the CSA 1099R & the regular 1099R, all with the same results. It does not ask my wife's retirement date or how the annuity is distributed. I am totally stumped. Is there a phone number I can call for tech support, sounds like a programming glitch to me?

[jtax]

What boxes are different on the two 1099-R (other than the dollar amounts, addresses, account #'s, etc.)?

If you tell TT that your wife's 1099-R was not rolled over is it treated correctly? (i.e. taxed as you would expect)

You can speak with TT customer support from the help menu (contact at bottom). It appears that you need to pay for the plus tools in order to speak to a live person. (This forum is mostly volunteers, with some TT employees).

[johnszalay]

None of the boxes are different. TT does not give me the option to tell it was not a rollover. I even created a new return and did not import the previous years information. I started from scratch. When I entered my wife's 1099R, guess what, TT again treated it as a rollover, which it isn't. It is a monthly annuity, just like mine. TT lets me enter my information and does not ask if this is a rollover. I just don't understand what's going on. Should I uninstall TT and reinstall and start from the beginning again?

[jtax]

I'm confused. You state below that " It still asked her if this was a rollover", but above you say "TT does not give me the option to tell it was not a rollover." Is it asking you a question? If you say "no" it was not a rollover what happens.

Are you using desktop software? If not what do you mean by reinstall? (The forum software says you are coming from the online version). [The questions may be different. E.g. the desktop software does not ask if it is a rollover. Rather it asks "what did you do with the money from this payer?" If you are using the desktop software you can go into forms mode and look in detail at the "additional distribution information" worksheet (scroll down int the 1099-Rs). Section B deals with rollovers and distributions, so you can see if there are entries there and probably remove them.

[johnszalay]

Thank you for your interest. I am using TT Deluxe on a desktop. After I enter my wife's CSA-1099R info from the boxes, the next screen asks "What did you do with the money from Office of Personnel mgmt.?" TT gives me the option of (1)" XXX moved the money to another retirement account (or returned it to the same retirement account)). Option #2 "XXX did something else (cashed out, etc.)" She did neither as this is a monthly annuity from OPM.

If #1 is selected, the following options are (a) XXX rolled over all this money to an IRA or other retirement account (or returned to the same account). (b) " XXX converted all this money to an IRA account", (c)" XXX did a combination of rollover, converting  or cashing out the money".  She did neither of these.

If #2 is selected. the following options are " Did XXX receive payments from this retirement account on a regular basis, such as monthly...". Yes she does, but option #2 states that she cashed out, which she did not.

I do not know why TT asks these of her when my entries resulted with asking only  when I retired and how many times a year I get my annuity. Our 1099s are similar, the only difference is the amounts in each box. I have not looked at the forms worksheet yet as you suggested.

[AmandaR1]

It sounds like your wife's 1099-R needs to be re-entered. Because so many situations are handled on this form, once you go down a path in the software, you can't necessarily change every answer. I recommend deleting your wife's form and re-entering. 

To do so:

1. Login and click Take me to my return
2. Under 2017 Taxes on the left menu, select the Federal
3. Select the Income tab along the top
4. Scroll down to Retirement Plans and Social Security section
5. Click Update or Revisit next to IRA, 401(k), Pension Plans (1099-R)
6. You'll be at a listing of the 1099-Rs you've entered. click Delete to remove your prior entry. 
7. Click Add Another 1099-R or begin entering your form again. 
   
8. Answer the questions that follow carefully. 
9. ***When you've finished entering your form and are back at the summary screen of Form 1099-Rs, be sure to click CONTINUE. In some cases, this is where you will be asked about information that will change your taxability.

[johnszalay]

I deleted my wife's 1099R and started over. It still asks if she rolled over her retirement. I tried again with the same result. I then deleted both of our 1099Rs and began by entering her 1099R first. It still asked her if this was a rollover. When I enter my 1099R, it never asks me this question. I entered all data exactly the same for both 1099Rs. I even selected the CSA 1099R & the regular 1099R, all with the same results. It does not ask my wife's retirement date or how the annuity is distributed. I am totally stumped.  I even created a new return and did not export the previous years information. I started from scratch. When I entered my wife's 1099R, guess what, TT again treated it as a rollover, which it isn't. It is a monthly annuity, just like mine. TT lets me enter my information and does not ask if this is a rollover. I just don't understand what's going on. Should I uninstall TT and reinstall and start from the beginning again?

[jtax]

[mention://94862622 @johnszalay], I think you are reading too much into the #2 option. You wife did do something else with the money. The parenthetical is just intending to give you an example.

The distinction TT is trying to get is whether the withdrawals went back into another tax-deferred account (e.g. a rollover) and therefore should not be taxed. Either a cash out or a monthly withdrawal or indeed random withdrawals all mean that the withdrawals will be taxed.

There may be further questions to determine if some of the withdrawals are not taxed (because they are a return of previously taxed contributions--not very common).

Try choosing question #2 and answering any followup questions. If both your and your wife's 1099-R income show up as you expect on 1040 line 16 (a/b), then I would say you are good.

I don't know why they are treated separately in the first place. Are they both CSA-1099-Rs? Or is one a regular 1099?

If you want to follow up with support, you can start here: https://support.turbotax.intuit.com/contact/  but I wouldn't bother if you can get both pension incomes to show up.

[johnszalay]

Thank you for your sage advice. I deleted all the 2017 files I had saved and cleared the recycle bin before I started from scratch again. This time all the questions for both CSA1099Rs were the same and I selected question #2 as you suggested. Don't quite know why things were mixed up initially, but it looks good now.

[jtax]

@johnszalay, I'm glad you figured it out. These kind of problems are very frustrating. Impossible to know whether it was a bug or if you inadvertently answered a question wrong (and that somehow stuck around). Anyway, glad you got it to work.