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1099 R was received for an inheritance. My wife is responsible for 1/3 of the amount in taxable income box 2a.

She received the 1099 as representative of the will. Accountant told me to enter a negative amount in other income to offset her portion that is taxable. Turbo Tax does not let me do that. Do you know a way I can enter a negative amount in other income that will adjust tax amount owed.

Thanks,

Vic 

[AmyC · Accepted solution]

You should have a 1099-R to you from whoever received the full amount.  The person in charge should file a 1099-R with the IRS showing the money going from the recipient to the others nominated as beneficiaries. If the executor is not making 1099-R forms as they should, you will need to mark the extra income so the IRS knows it had more nominees. Your wife is a nominee of the 1099-R since she was nominated to receive a portion of the income.

Follow these steps:

1. go to the federal income section
2. scroll to the bottom
3. Miscellaneous Income, 1099-A, 1099-C, Start
4. Scroll to the bottom
5. Other reportable income, Start
6. Other taxable income?
7. Select YES
8. Description Other Nominee Income
9. Amount, enter a negative amount for the 2/3 portion that should not be on your return.
10. continue

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Thanks Amy C for your help that worked.