Help Understanding 1099-Rs

[avigo45]

My wife received two 1099-Rs with two different account numbers (only the last number is different) in 2022 after changing jobs in late 2021 and rolling over her retirement plan from one employer to another. As far as we know, it is just her former 401k being rolled over into her new/current 401k with her new employer.

One has "G" under Number 7 (distribution code) and one has "BG" under distribution code.

I don't have a 401k so I am just not familiar with all of this. 

How do I file these? Neither of them have any federal income tax withheld. 

Appreciate any help on this. 

[BillM223]

The 'G' code indicates a direct rollover from a traditional 401(k) to another (presumably from the old company to the new one).

The codes 'B' and 'G' indicate a rollover from one Roth 401(k) to another. May I presume that your wife had two 401(k) plans, one traditional and one Roth?

You file these by entering them as is into TurboTax. To do that, do a Search (upper case) for 1099-r (lower case) and click on the jump-to link. Ignore all the suggested search terms. Enter one 1099-R, then click the add another 1099-R button (or whatever it says) to add the other one.

Since neither transaction gives rise to taxable income (these rollovers are tax-free), it is no surprise that no tax is withheld.

[avigo45]

Thank you very much. I believe she only had one 401k but I think they may have split it? Which I guess would explain the two.

If there is no taxable income here why are they our responsibility to file? Just seems confusing since it is only a rollover and no money was taken out or anything.

Thanks again

[BillM223]

You have to file them, because the IRS has received copies of the 1099-R forms, and the IRS would be curious as to why you did not report them on your return (copies of such forms are included with your tax return when it is e-filed).

[avigo45]

Thanks. That makes sense. Appreciate the help