topic On pension 1099R, Copy B has box 2a with $$$ and box 2b blank. Copy 2 has box 2a blank and box 2b checked. How/Where do I reflect this difference in TurboTax Deluxe? in Retirement tax questions

On pension 1099R, Copy B has box 2a with $$$ and box 2b blank. Copy 2 has box 2a blank and box 2b checked. How/Where do I reflect this difference in TurboTax Deluxe?

Winkster71 — Thu, 06 Jun 2019 10:40:41 GMT

Box 7 contains a 7 and the IRA/SEP/SIMPLE box is blank on both copies. My state of residence is Illinois where pension distributions are not taxable.

All copies should be prepared the same by the payer. Cop...

dmertz — Thu, 06 Jun 2019 10:40:42 GMT

All copies should be prepared the same by the payer. Copy B represents what was reported to the IRS and is the one you should go by. Box 2a represents the federally taxable amount and does not imply anything about the state taxability. If additional information is needed to determine the state taxability of this income, the TurboTax will ask the necessary questions to determine the source of the distribution.

Thank you, dmertz. I had intended to proceed as you sugg...

Winkster71 — Thu, 06 Jun 2019 10:40:44 GMT

Thank you, dmertz. I had intended to proceed as you suggest, but thought the community might suggest another approach or add insight. I did call the payer and as an explanation they stated they do not calculate taxable amount for anyone in Illinois, nor do they deduct tax withholding for Illinois. I assume this is because pension income is not taxable in Illinois. To your point, I do not see how that has any bearing on the entries in Box 2. I tried to check prior years to see if they have treated Box 2 this way in the past. Unfortunately I had to attach Copy 2 to the state return so I cannot check it. Once again, thank you for taking the time to reply to my question. If you are on the east coast, Happy Snow Day.