Misdirected Distribution

Forum|Forum|6 years ago
April 18, 2020
1 reply
4 views

Before I was able to tell Merrill Lynch where to rollover my funds they mailed me a check as ordinary income and with taxes at almost 20%. I did deposit the funds to my IRA Rollover acct but need to recover the taxes withheld. What form to I need?

401K

VolvoGirl

Level 15

You will get a 1099R for it. You enter it into your tax return. The 20% withholding is like withholding on your W2. So you will get credit for it. Did you roll it into your IRA within 60 days? When you put it in the IRA did you replace the 20% withholding from your own money? If not then the 20% will become a taxable distribution itself.

VolvoGirl

Level 15

Was this in 2019? Or this year? Did you get the 1099R in January?

The easiest way to get to the 1099-R entry screen is to simply search for 1099-R (upper- or lower-case, with or without the dash) in your TurboTax program and then click the "Jump to" link in the search results.

Enter a 1099R under

Federal Taxes on the left side

Wages & Income at the top

Then scroll way down to Retirement Plans and Social Security,

Then IRA, 401(k), Pension Plans (1099R) - click Start or Revisit

If you are filing a Joint return be sure to pick which person it is for.