The code in box 7 and the answers to the follow-up interview questions will determine that.
Enter a 1099-R here:
Federal Taxes,
Wages & Income
I’ll choose what I work on (if that screen comes up),
Retirement Plans & Social Security,
IRA, 401(k), Pension Plan Withdrawals (1099-R).
OR Use the "Tools" menu (if online version under My Account) and then "Search Topics" for "1099-R" which will take you to the same place.
Enter the 1099-R information exactly as it is on the form. If a box is blank - leave it blank - DO NOT enter zero "0". Be sure you enter the code in box 7 and check the "IRA/SEP/SIMPLE" box ONLY if it is checked on the form. If box 2a says "Unknown" - leave it BLANK - the taxable amount will be calculated based on your answers to the follow-up questions.
If this was a IRA rollover or conversion, answer the question that you moved the money to another retirement account (can be the same account). The screen will open up with choices of where it was moved.
(If box 7 has a code “G” it will automatically be a trustee-to-trustee rollover).
It will show as income on the summary screen which shows gross income, not taxable income.
The income will be reported on line 15a or 16a on the 1040 form (depending on the type of account) with the word “ROLLOVER” next to it if it was a rollover.
The taxable amount will go on line 15b or 16b. In the case of a rollover, that amount will be zero.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
