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spentab61
New Member

Direct rollover showing dollar amount in line 5b of form 1040

Direct rollover from 401K to Regular IRA.  Non taxable event, yet turbo tax software placed $27,680 value in line 5b of form 1040 to be calculated as income on my taxes.  The value on line 5b should be zero as reported on my 1099R.  Don't know why the turbo tax software would place that value into the 5b line.  The form does show rollover next to the 5b line.  all documentation from IRS says this was a direct rollover and non taxable.  Both my financial institutions agree this is a software issue with turbo tax

 

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6 Replies

Direct rollover showing dollar amount in line 5b of form 1040

Delete the Form 1099-R and re-enter manually.

Does box 7 of the 1099-R have a G code entered for a rollover?  Did you indicate in the follow-up questions that this was a rollover to another tax deferred account?

 

Box 5a on the Form 1040 should have the amount from box 1 of the 1099-R and box 5b should have a 0 entered.  With the word ROLLOVER entered on the left of Line 5b.

 

Have entered multiple times using test accounts and the software has always performed as expected on the federal tax return with this type of 1099-R and a rollover.

spentab61
New Member

Direct rollover showing dollar amount in line 5b of form 1040

all financial information has been input correctly from 1099R and the proper G code has been input as well, but  turbo tax has, despite the word rollover being next to line 5b on form 1040,  place a value of $27,680. into the box and that box should read 0.

Direct rollover showing dollar amount in line 5b of form 1040

Did you enter any other 1099R forms?   Maybe that one got entered twice.  Is line 5a right for the gross amount?

spentab61
New Member

Direct rollover showing dollar amount in line 5b of form 1040

Only one 1099r from the transferring financial group has been entered and yes the proper amount was entered into line 5a.  Can't find any reason turbo tax populated box 5b with a value.  this is a very simple direct rollover and yet the turbo tax software has calculated a $27,680 value

Direct rollover showing dollar amount in line 5b of form 1040

I would delete the 1099R and enter it again Manually.   That  usually fixes things.  A code G should automatically be a rollover and zero on 5b.  Maybe you answered a question wrong and it thinks you rolled it over to a ROTH IRA.  Is 27,680 the amount you rolled over?  @dmertz 

dmertz
Level 15

Direct rollover showing dollar amount in line 5b of form 1040

Is there a zero in box 2a of the Form 1099-R provided by the payer?

Is box 2b Taxable amount not determined marked?

Is there a nonzero amount in box 5?

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