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New Member
posted Mar 30, 2023 12:16:15 PM

Is taxable annuity the same as taxable amount on 1099-R?

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1 Replies
Expert Alumni
Mar 30, 2023 1:11:45 PM

Yes.  Typically, these annuities are funded with money from 401(k)s or other tax-deferred retirement accounts, such as IRAs. When you receive payments from a qualified annuity, those payments are fully taxable as income. That's because no taxes have been paid on that money.

 

Box 2a, Taxable Amount: This is the portion of pre-tax money of your Gross Distribution (in Box 1). Any post-tax money distributed would be represented in Box 5.