topic Every year I have to ask TurboTax the same question - Where do I enter income from an overseas (United Kingdom) pension for me and my wife? Can anyone help me? in Retirement tax questions

Every year I have to ask TurboTax the same question - Where do I enter income from an overseas (United Kingdom) pension for me and my wife? Can anyone help me?

dnpinnacle — Mon, 23 Feb 2026 10:49:25 GMT

Re: Every year I have to ask TurboTax the same question - Where do I enter income from an overseas (United Kingdom) pension for me and my wife? Can anyone help me?

leeloo — Mon, 16 Jan 2023 14:39:21 GMT

The best way is to enter the foreign pension as a substitute form 1099-R:

1. Click on Federal Taxes.

2. Select Wages and Income.

3. Select “I’ll choose what I work on”.

4. Scroll down to Retirement Plans and Social Security”.

5. Select “IRA, 401(k), Pension Plans (1099-R).

6. On the screen “Tell Us Which 1099-R You Have”, there is a box “I need to prepare a substitute 1099-R”. Click on that box and continue.

For electronic purposes, the two letter state ID and zip code may be left blank, it should be fine for electronic filing. As to the Federal ID, UK pensions often do not have it, try entering nine 9s.

If electronic errors occur due to 1099-R data entry, please enter the pension in Miscellaneous income. As long as IRS has the pension reported and included in total income, it is not problematic. If your pension receives no special tax treatment, you are fine to report it in the miscellaneous income.

Re: Every year I have to ask TurboTax the same question - Where do I enter income from an oversea...

LindaS5247 — Mon, 16 Jan 2023 20:33:51 GMT

Generally, foreign pensions are taxable to US citizens or residents. However, some foreign pensions might not be taxable if it is covered under any tax treaties between the foreign country and the United States. In addition, tax treaty-related matters are complex, I suggest you consult a specialized professional for verification of your specific situation.

Per @leeloo:

If your foreign pension is taxable, you will need to create a substitute form 1099-R.

Here are the steps:

In TurboTax online,

Sign into your account and select Pick up where you left off
At the right upper corner, type in 1099r, then Enter
Select Jump to 1099r
Follow prompts
Next screen, choose your bank or brokerage, select I'll type it in myself
Follow prompts. On the screen "Tell us if any of these uncommon situations apply"
Check the box I need to prepare a substitute 1099-R and follow the prompts.

As to the Federal ID, most of the foreign pensions often do not have the ID number. Please try entering nine 9s. If electronic errors occur due to 1099-R data entry, enter the pension under Miscellaneous income, see instructions below. As long as the IRS has the pension reported and included in total income, it is not problematic.

To your left, select Federal
From the top, select Wages and Income
Scroll down to last section -Less Common Income -select Miscellaneous Income, 1099-A, 1099-C- Start
Next screen, scroll down to Other Reportable Income- Start
Follow prompts

For more information, see http://www.irs.gov/Businesses/The-Taxation-of-Foreign-Pension-and-Annuity-Distributions

If it is not taxable to you,

report your full amount as instructed above in the 1099R section. Then enter the treaty exempt amount as negative amount (e.g., -5000) under Other Reportable Income as instructed below.
Download and fill in a Form 8833 from IRS to claim an exception. https://www.irs.gov/pub/irs-pdf/f8833.pdf
You cannot e-file. You may still use the TurboTax program to prepare all your tax forms, but you would need to print them out and submit by mail along with form 8833.

In addition to @LeeLoo’s comments, please consider the following complexities regarding your foreign pension:

There are reporting requirements under the Foreign Bank Account (FBAR) requirements if more than $10,000 is deposited in a foreign pension, or FATCHA if certain thresholds are met.

You may consult with your foreign pension administrator as to whether your foreign pension is indeed covered by a tax treaty. If it is, it may not be taxable.

Below is a link to the instructions for this form:

https://www.irs.gov/pub/irs-pdf/i8621.pdf

Below is a link to Form 3520, which discusses certain transactions they may have to be disclosed.

https://www.irs.gov/pub/irs-pdf/i3520.pdf

Another point to remember is that because most foreign pensions are not considered qualified plans by the Internal Revenue Service, they are ineligible to be rolled over to an IRA or other US based retirement plan.

IRS Publication 575 touches briefly on foreign pensions and your basis in them.

https://www.irs.gov/pub/irs-prior/p575--2021.pdf

Re: Every year I have to ask TurboTax the same question - Where do I enter income from an overseas (United Kingdom) pension for me and my wife? Can anyone help me?

EddyC — Sun, 25 Feb 2024 15:14:10 GMT

OF COURSE UK pensions don't have a US Federal ID! They are foreign!!! - Same bloody problem every year, won't accept all 9's and doesn't like a blank.

Re: Every year I have to ask TurboTax the same question - Where do I enter income from an overseas (United Kingdom) pension for me and my wife? Can anyone help me?

fanfare — Sun, 25 Feb 2024 15:26:47 GMT

make up a number or take from some other 1099-R

a number starting with 34- should work.

Re: Every year I have to ask TurboTax the same question - Where do I enter income from an overseas (United Kingdom) pension for me and my wife? Can anyone help me?

edenskier — Wed, 18 Feb 2026 23:45:24 GMT

Note to community - the nine nines payer ID method doesn't work now.

You have to enter via the "Other reportable income" approach, which does seem to work.

Remember to use the official Treasury exchange rate - not just winging it.