I have a pension to which I made no contributions. When I retired I received monthly payments. Form 1099R box 2a is blank Which tax method, Simplified or general rule?

[dmertz]

Since you made no contributions to the plan, the entire amount is taxable and neither the Simplified Method nor the General Rule should be used.  Just tell TurboTax that the amount in box 2a is the taxable amount and TurboTax will treat the entire amount as taxable.  confirm this be seeing that the box 1 amount is included on Form 1040 line 4d.

[dvemerson]

In past years only a small portion of my pensions have been taxed.  why the difference in 2020?  i looked at past 1099R and each year would show line 2a as the same as 1a.  something had to change since the last few years.  everything is exactly the same on 1099R.  The taxable pension amount on line 5b 1040EZ is more than 50% over past years and nothing has changed from year to year.

[SamS1]

You must have indicated you made after tax contributions to the plan.  If you did not make after tax contributions, Box 1 and box 2a would be the same.  If this is a government pension, look to box 9.  The amount of your contributions would be there.  If sounds like you have used up all your after tax contributions to offset your benefit amount in 2020 so more of your pension is taxable.  My guess is in 2021, all your pension will be taxable.

The pandemic has affected your taxes in many ways. Including reporting in TurboTax the amount of stimulus money you received. Click Here for more information on how the Pandemic affected your 2020  taxes.