How do I file the dividend I receive from state farm minus the amount I pay for my life insurance? They send it as a 1099r - Is this an rmd?

[lzw612]

I thought it was just a dividend and should be a 1099 DIV but they send it as a 1099R

[MarilynG1]

Check the Code in Box 7 of your 1099-R.  This could indicate an Annuity Payment that is entered in TurboTax as income.

Click this link for more info on 1099-R Box 7 Codes. 

This link gives details on How to Enter a 1099-R.

[Larry112]

Turbo Tax is using box 1 amount instead of box 2a amount as taxable amount which is not correct for situations when dividends exceed premiums.  Last year turbo tax used the amount in box 2a correctly. Please advise how to correct or override program.

[AmyC]

I am going to assume you have a 1099-R with code 9.Then the entry continues:

not an IRA, 

not public safety officer, 

you may need to choose a state and answer questions.

My program is taking the box 2 amount for taxable income. Review your entry and make sure you did not mark under box 2 that the total distribution was taxable. The boxes should be blank.

@Larry112 

[Larry112]

I followed your instructions, but the total still uses the amount from box 1 and not 2a.

[AmyC]

I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the  directions below:

TurboTax Online:

Sign into your online account.

Locate the Tax Tools on the left-hand side of the screen. 

A drop-down will appear. Select Tools  

On the pop-up screen, click on “Share my file with agent.”

This will generate a message that a diagnostic file gets sanitized and transmitted to us.

Please provide the Token Number that was generated in the response.

TurboTax Desktop/Download Versions:

Open your return.

Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent”

This will generate a message that a diagnostic copy will be created.  Click on OK and the tax file will be sanitized and transmitted to us.

Please provide the Token Number that was generated in the response.  

@Larry112