1099R box 7 in 2017 it was 3 in 2018 it is a 7 why was it changed I'm still disable
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Code 3 in Box 7 of a 1099-R means that the taxpayer is on disability but under retirement age. The income will be taxed as wages, rather than on the pension line. The importance of this is that when disability pay is treated as wages, it might affect the earned income credit and the taxpayer’s ability to make an IRA contribution, because it is still considered earned income.
Code 7 means the taxpayer has reached age 59 1/2. The income will be taxed as pension income. It is no longer considered earned income.
Page 12-10, https://www.irs.gov/pub/irs-pdf/p4491.pdf
If you are still disabled, the code should remain as 3. If you suspect your Form 1099-R is incorrect, you would need to contact the issuer to receive a corrected version. As IRS also receives your Form 1099-R, you should not change the way how it is reported on the form. It is important to enter the information exactly the same as what the Form reports so to match IRS record.
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