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New Member
posted Apr 16, 2020 4:19:28 PM

My 1099-R Box 7 is coded a 2B but Turbotax indicates that code B is not valid for an IRA distribution. But the distribution is coming from a Roth IRA. It was coded the same way last year with no problems.

0 2 1124
2 Replies
Expert Alumni
Apr 16, 2020 4:38:57 PM

It would be a code B, which is a designated Roth account distribution. I don't know why that 2 was there because a 2B is not a valid code.

Level 15
Apr 16, 2020 4:59:19 PM

Code 2B is a perfectly valid code that means that you received a distribution from the designated Roth account in a qualified retirement plan like a 401(k) before reaching age 59½ but after separation from service in or after the year you reach age 55.

 

This distribution is NOT from an Roth IRA.  In the follow-up, be sure to indicate that this was not a distribution from a Roth IRA.  This unnecessary question asked by TurboTax is a trick question that serves only to catch the unwary.