In regards to 2020 CARES 401k withdrawal, what form should be filed in order to claim the last 1/3 of the withdrawal?

[covergurl83]

How do I indicate on this return that I've paid 2/3 of the CARE Act COVID withdrawal?

[MonikaK1]

You will enter the final one-third of the CARES act distribution on Form 1099-R. Form 8915-F reports the distribution and repayment plan, and is prepared by TurboTax from your entries.

We are aware that users have been experiencing difficulty with reporting the deferred 2020 CARES Act distributions this year. Please see this thread for additional discussion on this issue and the workaround steps below:

1. Login to your TurboTax Account 
2. Click on the "Search" on the top and type “1099-R”  
3. Click on “Jump to 1099-R” 
4. If you do not have any 2022 Forms 1099-R answer "No" to "Did you get a 1099-R in 2022?" (If you have any other 1099-R then enter all 1099-R and after entering your last 1099-R click "Continue" on the “Review your 1099-R info​​​​​​​” screen)
5. Answer "Yes" to the "Have you ever taken a disaster distribution before 2022?" screen
6. Answer "Yes" to "Did you take a 2020 Qualified Disaster Distribution?"
7. Uncheck the box next to "If this was a Coronavirus-related distribution reported in 2020 check here" and click continue
8. On the "Which disaster affected you in 2020?" screen, select the blank entry and click "back" 
9. Then recheck the box next to "If this was a Coronavirus-related distribution reported in 2020 check here" and continue.

If you already entered the Form 1099-R information, another option is to delete "Form 8915-F" and "Qualified 2020 Disaster Retirement Distr" and then go back to the retirement section and reenter the information:

1. Open or continue your return in TurboTax.
2. In the left menu, select "Tax Tools" and then "Tools".
3. In the pop-up window Tool Center, select "Delete a form".
4. Select "Delete" next to "Form 8915-F" and "Qualified 2020 Disaster Retirement Distr" and follow the instructions.
5. Click on the "Search" on the top and type “1099-R”  
6. Click on “Jump to 1099-R” 
7. If you do not have any 2022 1099-R answer "No" to "Did you get a 1099-R in 2022?" (If you have any other 1099-R then enter all 1099-R and after entering your last 1099-R click "Continue" on the “Review your 1099-R info​​​​​​​” screen)
8. Answer "Yes" to the "Have you ever taken a disaster distribution before 2022?" screen
9. Answer "Yes" to "Did you take a 2020 Qualified Disaster Distribution?"
10. Check the box next to "If this was a Coronavirus-related distribution reported in 2020 check here" and enter your information.

[Edited 03/20/23| 4:55pm PST]

@covergurl83 (edited) 

[covergurl83]

Thank you! This was very helpful! I'm now having trouble finding the 8915F-T form in order to edit the form.  Also, it still appears that I'm being taxed on the 1/3 but I paid taxes on the withdrawal, so how can I make sure the taxes I paid upfront is reported on the 2022 return?  Thanks

[JamesG1]

To access IRS form 8915-F and report the final 1/3 of the 2020 Qualified Disaster Distribution as taxable income on your 2022 Federal 1040 tax return, follow these steps:

• Down the left side of the screen, click on Federal.
• Down the left side of the screen, click on Wages & Income.
• Scroll down to Retirement Plans and Social Security.  Click Show more.
• Click Start / Revisit to the right of IRA, 401(k), Pension Plan Withdrawals.
• At the screen Here's your 1099-R info, click Continue.
• Continue to the screen Did You Take a 2020 Qualified Disaster Distribution?  Click Yes.
• Continue to the screen Did You take a Qualified Disaster Distribution?

Your 2020 IRS form 1099-R originally reported the full distribution and may have included Federal (and/or state) taxes withheld.

When you claimed the 2020 Qualified Disaster Distribution (1/3 of the full distribution), you likely received a refund of that withholding tax on the 2020 Federal 1040 tax return.

@covergurl83 

[covergurl83]

Hey James!

Thank you for the additional information. I'm using the desktop version and I don't have the option to selection retirement plans and social security. Is there a different way to get to this information? Also, both of my returns (2020 and 2021) show the amount paid in taxes on my 2020 withdrawal so I was trying to make sure that's mirrored on the 2022 return.  This is why I'm trying to make sure the taxes are added on the 2022 tax return.  Thanks!

[VolvoGirl]

Sorry you only get the withholding credit on your 2020 return.  There should be no tax withholding on 2021 or 2022 for that 1099R.  Maybe if you had another 1099R in 2021.

Enter a 1099R under

Federal Taxes Tab or Personal (Home & Business)

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

[covergurl83]

Thanks!

[jmathew19]

I tried both the options, but the form is still showing 0 for the 2022 column, it should show the 1/3rd amount in 2022.

[DanaB27]

Please be aware, that TurboTax won't show the 3rd portion on the Income Summary screen under Wages & Income. You will need to check Form 1040 line 4b (for IRA) or 5b (for other than IRA) if the amount is included.

To preview Form 1040 in TurboTax Online:

1. Click on "Tax Tools" in the left menu
2. Click "Tools"
3. Click "View Tax Summary" in the Tool Center window
4. Click on "Preview my 1040" on the left

To enter the 3rd portion of the 2020 Covid distribution:

1. Login to your TurboTax Account 
2. Click on the "Search" on the top and type “1099-R”  
3. Click on “Jump to 1099-R” 
4. If you do not have any 2022 1099-R answer "No" to "Did you get a 1099-R in 2022?" (If you have any other 1099-R then enter all 1099-R and after entering your last 1099-R click "Continue" on the “Review your 1099-R info​​​​​​​” screen)
5. Answer "Yes" to the "Have you ever taken a disaster distribution before 2022?" screen
6. Answer "Yes" to "Did you take a 2020 Qualified Disaster Distribution?"
7. Uncheck the box next to "If this was a Coronavirus-related distribution reported in 2020 check here" and click continue
8. On the "Which disaster affected you in 2020?" screen select the blank entry (click on it) and click "continue"
9. Go through all the question
10. On the Income & Wage screen click "Edit" next to "IRA, 401(k), Pension Plan Withdrawals (1099-R)"
11. Click "Continue" on the “Review your 1099-R info​​​​​​​” screen
12. Answer "Yes" to "Did you take a 2020 Qualified Disaster Distribution?"
13. Then recheck the box next to "If this was a Coronavirus-related distribution reported in 2020 check here", enter your information from your 2021 Form 9815-F, and then continue.

@jmathew19