turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

nothing
Returning Member

Tax form regarding 401k excess contribution of 2018

Hi I worked for two companies in 2018 so I over contributed to 401k. After I found out about this, I contacted the plan owner(previous company) and asked them to return the excess contribution (after tax , and before 4/15/2019) . They returned the money. However, they said I would not get an updated W2. I filled out the tax forms with the estimated number of the federal and state tax. 

 

I would expect either the previous company or the plan owner to send me another tax form for this this year so that I can amend my 2018 tax based on the real numbers. However, I have not received anything from either the previous employer or the plan owner.

 

Should I contact anyone for this? If so, should I contact the previous employer or the plan owner?

 

Thank you for your help.

Connect with an expert
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

3 Replies

Tax form regarding 401k excess contribution of 2018

No the W-2 cannot be changed because it reports what was actually contributed.

 

If returned in 2019 then yiu should have received a 2019 1099-R with a code P in box 7 that would be reported as wages in your 2018 tax return because you must claim the amount that was not reported on the W-2 as wages as if they were on the W-2.

 

Any earnings attributed to the excess would be reported on a 2nd 1099-R with a code 8 in box 7 that is taxable in the year returned - 2019, so that goes in yiur 2019 tax return.

 

If you did not receive the 1099-R's then contact the 401(k) plan trustee as there were required by law to issue them no later than Jan 31, 2020.

 

For information see IRS Pub 525 page 10
https://www.irs.gov/pub/irs-pdf/p525.pdf

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
nothing
Returning Member

Tax form regarding 401k excess contribution of 2018

Thanks macuser_22!

 

I just found 1099-R on the plan's website. However, on the form it says "1099-R", and in box 7, the code is "P", which stands for "normal distribution".  Is it incorrect? In this case, do I need to contact them for correction?

 

Also, I am about to file tax return for 2019, whose deadline is in 3 days. In case I cannot receive the corrected 1099-R form, should I fill with the wrong form?

 

Tax form regarding 401k excess contribution of 2018

don't file an incorrect tax return, knowingly or unknowingly.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies