1099- R with box 7 containing U, but all monies were rolled over within 60 days

RickAL — Sun, 08 Feb 2026 10:21:44 GMT

When I enter my 1099-R details Turbo Tax DOES NOT ASK IF I ROLLED IT OVER--which I am assuming is because of Box 7 - being U. The only thing I can do is actually enter the total amount as an IRA contribution. So now I am getting a tax benefit -- it doesn't seem correct. Please advise on how to accomplish this filing correctly. thank you in advance.

Re: 1099- R with box 7 containing U, but all monies were rolled over within 60 days

dmertz — Sun, 08 Feb 2026 13:50:24 GMT

Code U indicates a dividend distribution from ESOP shares. Such a distribution is NOT eligible for rollover. Depositing these funds into an IRA constitutes an ordinary contribution to the IRA and must be entered as such under Deductions & Credits. If the result is an excess contribution, you'll need to resolve the excess, typically be requesting an explicit return of contribution. Assuming that the IRA custodian coded the deposit as a rollover, requesting a return of contribution will require convincing the IRA custodian that this was a failed rollover and was therefore an ordinary contribution that can be returned.

topic 1099- R with box 7 containing U, but all monies were rolled over within 60 days in Retirement tax questions

1099- R with box 7 containing U, but all monies were rolled over within 60 days

Re: 1099- R with box 7 containing U, but all monies were rolled over within 60 days