When will lines 4a and 4b be fixed. My return shows 4a smaller than 4b. Will the IRS accept this?

[BMcCalpin]

Yes, the IRS accepts this.

Taxpayers assume that 4a should be the total amount of IRA/pension/annuity distributions and 4b should be the taxable amount, but that is clearly not what the IRS instructions call for.

You can see for yourself on pages 28 and 29 at https://www.irs.gov/pub/irs-pdf/i1040gi.pdf for lines 4a and 4b.

"Except as provided next,
leave line 4a blank and enter the total
distribution (from Form 1099-R, box 1)
on line 4b."

There are multiple exceptions listed ("except as provided next") in the text that follows, in which you are supposed to add the total distribution into 4a, not leave it blank as stated above. This means that sometimes the total distribution of an IRA/pension/annuity is added to 4a and sometimes it's not.

This was tolerable while IRAs were reported on one line and pensions/annuties on another (yes, this is the way it has worked for years), but in 2018 when the IRS redesigned the 1040 form, they lumped IRAs and pensions/annuities together on one line.

Now we see much more often that some of the total distributions are added to line 4a and some are not, with the result that 4a is sometimes smaller than 4b.

This surprises a lot of taxpayers, but it is exactly what the IRS instructions call for.

[Bamboo]

@TurboTaxBillMc @djisherwood And what of the reports of returns being adjusted by the IRS? It isn't correct and it's disingenuous to argue that is what the IRS intended to have reported.
<a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/4576126-one-of-my-1099-r-amounts-is-not-being-added-to-line-4a-of-...>

[prtaylor56]

@TurboTaxBillMc

And what about these IRS instructions for multiple distributions, that you keep ignoring?

For IRA's: "If you (or your spouse if filing jointly) received more than one distribution, figure the taxable amount of each distribution and enter the total of the taxable amounts on line 4b. Enter the total amount of those distributions on line 4a."  (page 29 of IRS 1040 instructions)

For Pensions: "If you had more than one partially taxable pension or annuity, Figure the taxable part of each separately. Enter the total of the taxable parts on Form 1040, line 4b. Enter the total pension or annuity payments received in 2018 on Form 1040, line 4a." (page 31 of IRS 1040 instructions)

If you were being completely honest, you would admit that these IRS instructions are more applicable to the situations people are complaining about than the instructions you keep citing for single, fully taxable distributions.  You would also admit that while the IRS might "accept" returns with 4a less than 4b (which is disputed by some filers), they would certainly also accept returns where 4a was actually the total of the gross IRA and pensions distributions, as it is labelled.

You would also admit that If TT took the 10 minutes needed to fixed this, all this complaining would go away, they would conform with other tax service providers and software, and the IRS would be perfectly happy.

You might even admit that common sense dictates that Line 4a should never be less than 4b, and that is not the IRS intent. The instruction you cite about leaving 4a blank clearly applies to single, fully taxable distributions, and in any case you are not leaving 4a blank, you are putting a nonsense number into it!

[dhess11]

I ordered a $4000.00 disbursement from my financial institution. So the institution computed 15%, roughly $706.00, and shows the total disbursement at $4706.00. I received a check for $4000.00 and the $706.00 was submitted to the IRS. My box 4a is blank and 4b lists $4706.00 as you describe in your reply. But I don't see anywhere on my return where the $706.00 was credited against tax owed. It's as if I'm paying tax twice on the same amount, first when I ordered the original disbursement and again, where $4706 was included in box 4b, right?

Thank you.

D. W. Hess

[VolvoGirl]

Did you enter the 1099R?  The withholding should be in box 4.  And shows up on 1040 line 17 with all your other withholding from W2s.