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Level 2
March 14, 2020
Question

Rolling over IRA and 401K

  • March 14, 2020
  • 2 replies
  • 14 views

While Using turbo tax, I reported rollovers from two previous employers 401 k accounts. I rolled them over to a traditional IRA. For some reason, it counted these rollovers as income, and this should not be correct. I didn't see any place where they let me edit this. Anyone know what's up? Thanks. 

    2 replies

    Level 15
    March 15, 2020

    They are classified as "income" simply to indicate that they are required to be reported on your tax return.  It doesn't mean that they are taxable income that would affect your tax liability.  If you entered this income correctly, they should be included by TurboTax on Form 1040 line 4c but be excluded from the taxable amount on line 4d and the word ROLLOVER will appear next to line 4d.

    Janice56Author
    Level 2
    March 16, 2020

    Thank you!