Roth IRA rolled over within 60 Days

Forum|Forum|5 months ago
March 5, 2026
2 replies
201 views

My Form 1099-R lists distribution code 2B. When I left my employer, I took a distribution from my Roth 401(k). I qualified for the age-55 separation exception, so the distribution was not subject to the early withdrawal penalty.

Within the 60-day rollover period, I rolled the full distribution amount into a Roth IRA.

However, the 1099-R shows distribution code 2B, and your system does not allow me to enter 2B in the distribution code field. How should I proceed so that the distribution and rollover are reported correctly?

Best answer by dmertz

Expert Reviewed

The code B indicates that this is not a distribution from a Roth IRA. It is a distribution from a designated Roth account in an employer plan. When TurboTax needlessly asks if this distribution is from a Roth IRA, you must answer No.

MinhT1

Level 15

2B is the combination of 2 codes, 2 and B. You should enter them both.

See this TurboTax Help article.

In TurboTax Online, on the entry screen of form 1099-R, put a checkmark on I have more than one value in Box 7. A second Box 7 will appear and you can enter the two codes, one in each box. The order doesn’t matter; TurboTax will make sure you get the right result either way.

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