To report Roth IRA distributions, you need to receive Form 1099-R from your financial institution, which details the distribution. Report this on Form 1040 of your federal income tax return. Qualified distributions are tax-free, but non-qualified ones may incur taxes and penalties. For a distribution to be qualified, the Roth IRA must be open for at least five years, and you must meet certain conditions (age 59½, disability, or first-time home purchase). Non-qualified distributions require calculating the taxable amount, usually the earnings portion. Additionally, some states may have extra tax requirements.
To report in TurboTax
- Sign in to TurboTax
- Click here to enter your 1099r and related distributions