On form 1099R I have $8K on line 5A (Gross Distribution) from an annuity from a deceased parent. On line 5B I have $1200 (Taxable Amount). As I see it, my taxable income should only go up by $1200, not $8K. How do I get my taxable amount only to be added to my total taxable income?
Line 5a is the total amount Line 5b is the taxable portion of Line 5a. Only $1,200 is being added to your income.
I understand that is how it should be, however, in entering the amounts in the appropriate boxes, my total taxable income goes up by $8K instead of the $1200 that is supposed to be added. My brother in law said his worked out correctly when he entered the info in his HR Block tax software.
Normally, the amount listed as taxable on your 1099-R entry is what is listed as taxable on your form 1040. You should first look on your form 1040 on line 4(b) or 5(b) to see what is being reported as taxable.
If the amount is wrong, revisit your 1099-R entry in TurboTax to insure that you entered the correct numbers in the appropriate boxes and answered the questions properly.
You can view your form 1040 while working in the online version of TurboTax by following these steps:
While working on your return in the Federal section of TurboTax:
1. Choose the Tax Tools icon on your left menu bar
2. Tools
3. View Tax Summary
4. Choose the Preview my 1040 on your left menu bar