topic How does taking a distribution from our 401 K effect our refund? in Retirement tax questions

How does taking a distribution from our 401 K effect our refund?

cathyconteras37 — Sun, 29 Mar 2020 15:47:25 GMT

So for our 2018 return I did not include any our 1099-R forms as I did not know where to input them when I filed. What I need to do to include them?

Re: How does taking a distribution from our 401 K effect our refund?

ColeenD3 — Sun, 29 Mar 2020 16:03:59 GMT

If you have unreported income for 2018, you need to amend 2018 to include it.

To enter pension and annuity Payments (1099-R)

• Click on Federal Taxes (Personal using Home and Business)

• Click on Wages and Income (Personal Income using Home and Business)

• Click on I'll choose what I work on (if shown)

• Scroll down to Retirement Plans and Social Security

• On IRA, 401(k), Pension Plan Withdrawals (1099-R), click the start or update button

You can amend e-filed returns if they've been accepted; paper-filed returns may be amended once they've been mailed.

If your e-file is still pending, you won't be able to make changes until the IRS either accepts or rejects it. Don't know your e-file status? Here's how to look it up.

Select your tax year for amending instructions:

Keep in mind: You have 3 years from the date you filed your return or 2 years after you paid the tax due (whichever is later) to file an amendment

Re: How does taking a distribution from our 401 K effect our refund?

macuser_22 — Sun, 29 Mar 2020 16:06:46 GMT

If you did not report the 1099-R on your 2018 tax return then you need to amend and report it. Most 401(k) distributions are fully taxable, unless the box 2a indicates a lessor amount than box 1.

Amended returns can only be mailed. It is suggested that it be mailed certified with return receipt (or other tracking service) to verify that the IRS receives it.

See this TurboTax FAQ for detailed amend instructions:
https://ttlc.intuit.com/questions/1894381-how-to-amend-change-or-correct-a-return-you-already-filed

You can check the status of the amended return here, but allow 3 weeks after mailing.

https://www.irs.gov/filing/wheres-my-amended-return