In the 2023 tax year, I made an excess deferral into my employer's retirement plan 457(b). I notified my employer, and they notified the plan administrator. I received a corrected W2 from my employer and a check for the excess deferral. However, the check was for slightly more than the amount on the corrected W2. I filed using the corrected W2, thinking I would received two 1099-R forms in 2025, one for the excess deferral amount, and a second for what I assumed was gain on that amount. However, the 1099-R (Code P) form I received this year has the full amount on it, which is still slightly more than what was listed on the corrected 2023 W2. I contacted the plan administrator, and they say the form is correct. Do I need to amend my 2023 return to reflect the amount listed on the 1099-R, and how would I do that? I've already entered the corrected W2, so do I just need to enter the remaining difference elsewhere in my 2023 return? Thanks for your help!
You entered the corrected W2C last year so you don't need to worry about the 1099-R from this year. Code P means that you do not even need to enter it on your tax return.
You entered the corrected W2C last year so you don't need to worry about the 1099-R from this year. Code P means that you do not even need to enter it on your tax return.
Thanks for your reply. Just to clarify, the W2c and the 1099-R are different, in that the amount on the 1099-R is higher than the adjusted amount on the W2c. My W2c adjusted my income by $803, but the check I received and the 1099-R form were for $818.13. Does the difference ($15.13) not need to be added to my 2023 return? It is a very small amount for sure, but I just like to make sure I have all my information correct. Thanks again for your help!
No, you do not need to adjust your 2023 return and as indicated by @RobertB84444, the Code P means you don't enter it on your 2024 tax return. Keep it in your tax files.