On my 1099-R Entries, the ones checked as IRA/Sep/Simple did not transfer to line 4a (IRA Distributions) on the 1040-SR form. Our income was thus under
reported to the IRS. We are faced with a penalty. How do we correct the entry for this type of
income so it shows up in line 4a? Pensions where -IRA/Sep/Simple - was not checked appeared correctly in line 5a on that form.That's ok for 4a. As long as the taxable amount is right on line 4b. If the taxable amount on 4b is the same as the gross distribution on 1099R box 1 then it doesn't show the amount on 4a.
See IRS Pub 590b page 22
https://www.irs.gov/pub/irs-pdf/p590b.pdf
Reporting taxable distributions on your return. Report fully taxable distributions, including early distributions, on Form 1040, 1040-SR, or 1040-NR, line 4b (no entry is required on line 4a). If only part of the distribution is taxable, enter the total amount on Form 1040, 1040-SR, or 1040-NR, line 4a, and enter the taxable part on Form 1040, 1040-SR, or 1040-NR, line 4b.
So what did the IRS say was wrong? The taxable amount on line 4b or 5b? Did one of your 1099R show up on the wrong line, like line 5 instead of line 4? Or you missed entering a 1099R. Having an amount on the "a" line doesn't affect your tax return at all. It is not used to calculate the tax.
Thanks for your response. We entered all the 1099R’s into the software but the ones that should have appeared on line 4s appeared on line 5s. The one that should that should have appeared on 5s appeared nowhere on the filed return. I’m still trying to understand what happened.