1099-R Error

[HarryH85]

I am using the TurboTax desktop software and I have updated multiple times.  I received a 1099-R for a COVID-19 distribution I received in 2020. I know that a few weeks back TurboTax did not have the applicable forms to ask the COVID-19 questions, and I have since updated my draft returns to reflect the nature of this distribution.

However, I'm still getting an error and I am unable to e-file my taxes. The error is for the question asking how much of the distribution is taxable. The 1099-R says the full distribution is taxable, so I entered the full amount. The worksheet error message says:

Pension/Annuities/IRA Worksheet

Txble Pens/IRA (Red Dist) We're still working on updates related to Retirement Distributions that quality for disaster or COVID relief. You can keep working on your return and we'll remove this message when it's ready.

Based on this (https://ttlc.intuit.com/community/tax-topics/help/why-am-i-getting-getting-a-10-penalty-on-my-1099-r...) it sounds like TurboTax should have everything it needs from the IRS. So what is causing this error?

[SamS1]

It might be due to a state tax handling of the 8915E but lets start with reviewing the 1099R. It sounds like the 1099 Entries are correct.   I use the Home and Business Desktop version and to get the 8915E to work, I had to delete the old form and re-enter the 1099R after the update was made. 

Lets start by switching to Forms mode,  In upper right hand corner select "Forms".  You will be able to see the forms for your your return in the right hand column.  Select the 1099R you are working on.  You can now scroll down the screen to review the entries.  Keep scrolling and you will see the Disaster Distribution worksheet.  There you should be able to check some boxes to indicate it is a Coronavirus distribution and amounts to include.  Also in the forms list you can see red ! that need fixed before you can e-file.  This will help narrow which forms need fixed.   Check this out and see it that helps fix the problem.

[HarryH85]

Hello,

Thank you for responding. It appears the error is with the state form. I deleted the 1099-R forms on the federal side and reentered everything. I'm still getting an error message and there is a red "!" next to "Pen Ann IRA Wks (Not Done)" form under the state forms. The error is associated with the taxable portion. What do I have to do to get rid of this error and file?

Thank you,

[ReneeM7122]

If your state return is being rejected after deleting the 1099-R forms, please try the following

https://ttlc.intuit.com/community/rejections/help/how-do-i-fix-a-rejected-return/00/26136

Also please check and see if any of the forms within your return are preventing the efile:  State Forms Availability

If you are using a desktop version of TurboTax, please force and update to ensure you have the latest Form Updates:  Force Manual update for TurboTax Desktop

If you are using an Online Version of TurboTax, please clear cookies and/or try a different browser.  This link will provide more details on how to do that:  Clear Cookies on Browser

If your State return has been rejected please refer to this article for more details:  Return Rejections/Printing and Mailing

Answer modified from KarenM90