I closed an IRA CD and in less than 60 days I put it into another IRA CD to consolidate. First bank did not know I rolled it into another IRA (so code 7 on the 1099R form). I will get a form 5498 in May but how do I put this in Turbotax? The IRS says write in the margin that it is a rollover.
After you enter the 1099R it will ask what you did with it. Just say you moved it to another account. Then that will expand and you pick I rolled over all this money. Then it will expand to enter how much you rolled over.
Did they take any withholding out of it? If they did you had to add it back in from your own money when you put it back or the withholding will become a distribution by itself.
It should show up on 1040 line 4b as 0 taxable with the word Rollover by it.
After you have entered the Form 1099-R there will be a series of the screens asking various questions. One of the screens will ask what you did with the money. You have to select that you moved the money to either the same or another retirement account.
This allows the program to enter on your Form 1040 a 0 on Line 4b and the word ROLLOVER to left of Line 4b