What do I mark when asked "Where is this distribution FROM" if I rolled over retirement account and should not face tax penalty? "fund exempted by Federal law or treaty"?

[DB4]

Of the options given to me, I'm not sure if I choose "neither of the above" or "money from any fund, program or system which is exempted by Federal law or treaty."  I never touched the money, or it would have been taxable, but since it's a direct roll over, it should not be.  I just don't know how to answer the "from" question."

[IsabellaG · Accepted solution]

If your 1099-R is marked with distribution code G in box 7, then it will be marked as a direct rollover, and won't be taxed on your federal return.

The "Where is this distribution from?" question is for state income tax purposes. The state wouldn't tax your rollover either.  If you respond with details about your 1099-R, including the state and the distribution code, I can give you more details.

[DB4]

The state is GA and the distribution code is G (for a direct rollover).  On the answer choice that says, "money from any fund, program or system which is exempted by Federal law or treaty," I'm not sure if the "from" account qualifies as a "fund/program/system exempted by Federal law." I just know it is exempt as a rollover, not sure if that fund/program itself was exempted by Federal law.  That is why I am confused on whether to mark this option or "none of the above"

[IsabellaG]

Answer "none of the above." The question is about where the pension came from. In other words, what kind of fund it is,  not what you did with it. In other words,  what kind of fund it is if you DIDN'T roll it over.

[DB4]

Thank you!

[IsabellaG]

You're welcome!