401K to Traditional IRA rollover

[Hap4]

I rolled my 401K over to a traditional IRA and received a 1099-R.  Do I need to include the gross distribution as income even though I didn't withdraw anything?  The 1099-R is showing the amount I rolled over in the Gross Distribution and shows 0 in the taxable amount and 0 in the federal income tax withheld.

[DanaB27 · Accepted solution]

Yes, you will have to enter the 1099-R into TurboTax but a rollover won't be included in your taxable income. 

1. Login to your TurboTax Account 
2. Click on the Search box on the top and type “1099-R”
3. Click on “Jump to 1099-R”
4. Answer all follow-up questions carefully.

You can verify your entry by looking at line 5b (taxable amount) it should be $0 ( if this was your only distribution).

[Hap4]

Thank you so much for your reply.  I was concerned when I saw what it put in for my income as that was money that was not received, therefore in my head should not be considered income yet.  I appreciate your response!  

[techman5003]

Thanks for the answer BUT, When I did the import from Fidelity, it gave me a 1099-DIV, 1099-INT, and a 1099 B. It did not import the 1099-R for my 401k to IRA rollover. Is there a reason the import didn't pic this form up?

[LinaJ2020]

Did you try to go to the 1099-R section to import?  Here are the steps:

In TurboTax online,

• Sign into your account, select Pick up where you left off
• At the right upper corner, in the search box, type in 1099r and Enter 
• Select Jump to 1099r
• Follow prompts
• On-screen, "Let's import your tax info, select your company
• Follow prompts to continue

If import does not go smooth, I will suggest to manually enter info. Follow the above steps then :

• On-screen, "Let's import your tax info, select I'll type it myself
• Follow prompts to continue to enter info

Is your 1099-R showing a code G in box 7 as a direct rollover?   Based on your information, your transaction should be nontaxable.  The amount will still show on line 4a on Form 1040 as a reportable event but not taxable. 

[techman5003]

Sorry for the delayed response. 

I tried to import from the main import screen and from the 1099R section. Neither brought in my 1099R's from Fidelity. I had to manually input them. Not a crisis but was surprising I could not import all the data needed. 

Thanks 

[techman5003]

OBTW - there is a code G in box 7. It appears the rollover was not listed as taxable.