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js1232
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I over contributed 401k in 2017. I received excess in Feb 2018. Do I need to do anything for 2017 return? Or do I wait to get 2018 1099-R and take care in 2018 return?

 
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I over contributed 401k in 2017. I received excess in Feb 2018. Do I need to do anything for 2017 return? Or do I wait to get 2018 1099-R and take care in 2018 return?

Since it was a 2017 contribution, it must be reported on a 2017 tax return, but you will not receive the 2018 1099-R until next year since it was removed in 2018.   The 2018 1099-R would have a code "P" in box 7 meaning it is taxable and reportable on your 2017 tax return.

You do not need to wait for a 1099-R next year that will probably require you to amend your 2017 tax return to report the excess on line 7 of your tax return - it can be entered this way and then ignore the 1099-R when it comes.

Excess 401(k) deferrals should be reported in:
(There are several screens to click through to get to the right place)

Miscellionious Income ->
Other Income not reported on a W-2 ->
Other wages (yes) ->
House Hold employee (Continue) ->
Sick Pay (Continue) ->
Other earned income (yes) ->
Source of income (other) ->
Any other income - enter the amount of the excess deferral and an explanation.

For information see IRS Pub 525 page 10
https://www.irs.gov/pub/irs-pdf/p525.pdf

Note that the IRS Pub refers to 2016 & 2017 excess reported on the 2017 tax return and does not discuss 2018 1099-R's because they have not been issued yet.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

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