topic Re: 401k roll over in Retirement tax questions

401k roll over

antfig — Sun, 14 Feb 2021 00:47:51 GMT

I took a distribution from pre-tax money in my 401k in December 2020. The money was sent directly to a trustee to open an IRA but the IRA was not opened until January 2021. Are there any tax implications for 2020? Do I need to file anything about the transfer with my 2020 tax return?

Re: 401k roll over

macuser_22 — Sun, 14 Feb 2021 00:54:39 GMT

Yes. You must report the 1090-R for the distribution. A code G in box 7 is automatically a rollover. Say no to the two Roth questions and then it is automatically a rollover to a Traditional IRA.

That it spanned years is immaterial.

Re: 401k roll over

antfig — Wed, 17 Feb 2021 00:35:18 GMT

Thanks for the information.

Re: 401k roll over

mabugglin — Thu, 18 Mar 2021 21:23:44 GMT

I have a 401K rollover and have received a 1099R. This was rolled over into an IRA. No tax consequences. However, I have to report the amount on the 1099R with code G, yet the amount shows on my taxes as income. Why?

Re: 401k roll over

macuser_22 — Thu, 18 Mar 2021 21:40:16 GMT

It will show as income on the summary screen which shows gross income, not taxable income.

The IRS requires reporting all income on a *income* tax return - taxable and not-taxable.

The income will be reported on line 4a(for IRA) or 5a and 4b(for IRA) and 5b on the 1040 form with the word “ROLLOVER” next to it if it was a rollover.

The taxable amount will go on the 1040 line 4b or 5b. In the case of a rollover, that will be zero.

Re: 401k roll over

lpstalec — Thu, 08 Apr 2021 18:23:25 GMT

will this reported, non taxable, income effect my stimulus check?

Re: 401k roll over

macuser_22 — Thu, 08 Apr 2021 18:25:58 GMT

A non-taxable rollover will have not affect.

Re: 401k roll over

PattiF — Thu, 08 Apr 2021 18:28:07 GMT

No, a retirement roll over will not affect your income for being eligible for the stimulus check.