topic Great! in Retirement tax questions

1099r for 401k rollover distribution

kcroth — Sat, 01 Jun 2019 04:20:02 GMT

I changed companies in 2016 and did a distribution rollover with my 401K. I I changed companies in 2016 and did a distribution rollover to the new company's 401k program. My question is: Do I need to file the 1099R for the rollover with my 2016 tax return ? if so will it be reflected as income?

Yes, you do need to report the 1099-R on your 2016 tax re...

ThomasM — Sat, 01 Jun 2019 04:20:03 GMT

Yes, you do need to report the 1099-R on your 2016 tax return.

When you enter the 1099-R into TurboTax, notice the code in Box 7. The codes for a direct rollover are "G" or "H" (if a Roth). TurboTax will pick up on this code and your distribution won't be taxable.

If this was an indirect rollover -- meaning you physically got the check and deposited the funds into another retirement account -- then you'll have a code other than "G" or "H". In that case, you'll answer TurboTax's question about what you did with the money by checking the box that says you moved the money to another retirement account. That will also result in it not being included in taxable income.

I entered the "H" code from the 1099-R i received and do...

markwira — Sat, 01 Jun 2019 04:20:05 GMT

I entered the "H" code from the 1099-R i received and do not get the question "what did I do with the money? It shows up as taxable income on my 1040 form.

On your 1099-R, is the box for "IRA/SEP/SIMPLE" (between...

ThomasM — Sat, 01 Jun 2019 04:20:07 GMT

On your 1099-R, is the box for "IRA/SEP/SIMPLE" (between boxes 7 & 😎 checked?

Also, is there anything in box 2a, and is box 2b checked?

ThomasM — Sat, 01 Jun 2019 04:20:07 GMT

Also, is there anything in box 2a, and is box 2b checked?

I deleted the 1099-R entry and re-entered the info, readi...

markwira — Sat, 01 Jun 2019 04:20:09 GMT

I deleted the 1099-R entry and re-entered the info, reading very carefully and entering exactly what was asked. TT then responded correctly and did not tax my Roth rollover Thank you.

Great!

ThomasM — Sat, 01 Jun 2019 04:20:12 GMT

Great!

I am reporting a direct rollover from a 1099 R and entere...

mskl1965 — Sat, 01 Jun 2019 04:20:14 GMT

I am reporting a direct rollover from a 1099 R and entered the "G" code. I did not get the question "What did I do with the money" and it is showing up as taxable income. What can I do to fix this?

correction to above, it is not showing as taxable income,...

mskl1965 — Sat, 01 Jun 2019 04:20:18 GMT

correction to above, it is not showing as taxable income, but income. This is putting me above ROTH contribution levels. HELP!!

There are only two possibilities why the amount would be...

ThomasM — Sat, 01 Jun 2019 04:20:19 GMT

There are only two possibilities why the amount would be taxable: (1) it's a rollover to a Roth IRA, and (2) you rolled it into an HSA using the once-in-a-lifetime contribution feature, and then all of it wound up being an excess contribution. Each of these possibilities has its own question of you in TurboTax after you've entered the 1099-R. First, you'll be asked "Was this money rolled over to a Roth IRA" and you'll have to check "no." Then you'll get the HSA question which must also be checked "no" (if applicable). Double check these and let me know.

Okay, just to be clear, then, it's a rollover to a Roth I...

ThomasM — Sat, 01 Jun 2019 04:20:21 GMT

Okay, just to be clear, then, it's a rollover to a Roth IRA. Correct?

It is rolling over to a traditional IRA

mskl1965 — Sat, 01 Jun 2019 04:20:23 GMT

It is rolling over to a traditional IRA

Go up into the upper margin and click on My Account, then...

ThomasM — Sat, 01 Jun 2019 04:20:25 GMT

Go up into the upper margin and click on My Account, then select Tools from the dropdown menu. Then click on View Tax Summary, which is the first item in the list of Other Helpful Links. Then go up above the summary page and click on Preview My 1040. That will load the 2-page tax return for review. Look at lines 15a & 15b (or 16a & 16b) and tell me what you see. Also, what type of account is it being rolled from?

It is being rolled from a pension. 16a gives the $ amoun...

mskl1965 — Sat, 01 Jun 2019 04:20:27 GMT

It is being rolled from a pension. 16a gives the $ amount, 16b shows rollover. I see that this income is not in my AGI!! It is showing on the Turbo Tax Income Summary - this is what was throwing me off!!!

Okay, all is well.

ThomasM — Sat, 01 Jun 2019 04:20:28 GMT

Okay, all is well.

All is well. Thank you

mskl1965 — Sat, 01 Jun 2019 04:20:30 GMT

All is well. Thank you

I am in exactly similar situation as mskl1965. My wife re...

ketanp44 — Sat, 01 Jun 2019 04:20:32 GMT

I am in exactly similar situation as mskl1965. My wife received 1099-R since she rolled over her previous employer's 401K to an Individual IRA in 2016.
Here are some 1099-R form details: There is amount in box 1, No amount in 2a (it is zero), Total distribution box is checked in 2b, No amount in 4 (it is zero) and Distribution code is G in box 7.

When I entered all the correct details in Turbotax and then reviewed form 1040, I saw that there was nothing in 15a or 15b. The gross distribution amount was written in 16a and ROLLOVER was written in 16b.

My questions are:
(1) Can you please confirm that I am not being taxed on the gross distribution amount? It shows under my 2016 income summary (under pensions) in Turbotax which is leading me to some confusion.
(2) Why is 16a filled and not 15a in form 1040 for my situation? Shouldn't it be the other way around since 16a seem to be for Pensions and Annuities? Why is my rollover amount being show in the item (16a) related to pension?

Thanks in advance for your help.

1. Yes do not go by the income summary or review screens...

VolvoGirl — Sat, 01 Jun 2019 04:20:34 GMT

1. Yes do not go by the income summary or review screens. Those show the whole amount as income. Go by your actual tax return.

2. It is on line 16 because it came from an employer's 401k account. 401k goes on the same line with pensions. Only if the source was from a IRA would it be on line 15.

Like others, I have a 1099-r for a transfer from my old 4...

rick-grande — Sat, 01 Jun 2019 04:20:35 GMT

Like others, I have a 1099-r for a transfer from my old 401K that my prior employer converted to an IRA and I then transferred that IRA to another financial institution. Check was made out to the other financial institution. total distribution is checked and H in box 7. Turbo Tax is still showing it as a taxable liability. I tried deleting and starting over without luck. HELP!!

Just trying to duplicate your issue in the software. For...

ThomasM — Sat, 01 Jun 2019 04:20:37 GMT

Just trying to duplicate your issue in the software. For clarification, the code H means it's coming from a Roth and going into a Roth. When you say your employer "converted" a 401k to an IRA, was that a regular 401k to a Roth IRA, a Roth 401k to a Roth IRA, or a regular 401k to a Traditional (regular) IRA?