On 1099-r I changed box 7 (distribution code ) from 2 which is early distribution to 7 which is normal but federal due did not reduce by appropriate value.....???

does anyone know why taxes did not go down?

4086

Level 15

Apr 15, 2024 12:02:29 PM

You shouldn’t change the code since the IRS will compare their form with yours. But the code 2 means there’s no penalty so the tax for both codes is the same.

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On 1099-r I changed box 7 (distribution code ) from 2 which is early distribution to 7 which is normal but federal due did not reduce by appropriate value.....???