topic 401K to Traditional IRA rollover in Retirement tax questions

401K to Traditional IRA rollover

Hap4 — Sat, 20 Mar 2021 06:50:59 GMT

I rolled my 401K over to a traditional IRA and received a 1099-R. Do I need to include the gross distribution as income even though I didn't withdraw anything? The 1099-R is showing the amount I rolled over in the Gross Distribution and shows 0 in the taxable amount and 0 in the federal income tax withheld.

Re: 401K to Traditional IRA rollover

DanaB27 — Sat, 20 Mar 2021 13:04:03 GMT

Yes, you will have to enter the 1099-R into TurboTax but a rollover won't be included in your taxable income.

Login to your TurboTax Account
Click on the Search box on the top and type “1099-R”
Click on “Jump to 1099-R”
Answer all follow-up questions carefully.

You can verify your entry by looking at line 5b (taxable amount) it should be $0 ( if this was your only distribution).

Re: 401K to Traditional IRA rollover

Hap4 — Sun, 21 Mar 2021 18:45:14 GMT

Thank you so much for your reply. I was concerned when I saw what it put in for my income as that was money that was not received, therefore in my head should not be considered income yet. I appreciate your response!

Re: 401K to Traditional IRA rollover

techman5003 — Fri, 26 Mar 2021 01:24:50 GMT

Thanks for the answer BUT, When I did the import from Fidelity, it gave me a 1099-DIV, 1099-INT, and a 1099 B. It did not import the 1099-R for my 401k to IRA rollover. Is there a reason the import didn't pic this form up?

Re: 401K to Traditional IRA rollover

LinaJ2020 — Fri, 26 Mar 2021 23:59:48 GMT

Did you try to go to the 1099-R section to import? Here are the steps:

In TurboTax online,

Sign into your account, select Pick up where you left off
At the right upper corner, in the search box, type in 1099r and Enter
Select Jump to 1099r
Follow prompts
On-screen, "Let's import your tax info, select your company
Follow prompts to continue

If import does not go smooth, I will suggest to manually enter info. Follow the above steps then :

On-screen, "Let's import your tax info, select I'll type it myself
Follow prompts to continue to enter info

Is your 1099-R showing a code G in box 7 as a direct rollover? Based on your information, your transaction should be nontaxable. The amount will still show on line 4a on Form 1040 as a reportable event but not taxable.

Re: 401K to Traditional IRA rollover

techman5003 — Thu, 01 Apr 2021 14:46:03 GMT

Sorry for the delayed response.

I tried to import from the main import screen and from the 1099R section. Neither brought in my 1099R's from Fidelity. I had to manually input them. Not a crisis but was surprising I could not import all the data needed.

Thanks

Re: 401K to Traditional IRA rollover

techman5003 — Thu, 01 Apr 2021 14:48:46 GMT

OBTW - there is a code G in box 7. It appears the rollover was not listed as taxable.