Does TurboTax sends worksheets and forms like 1099-R to the IRS or only forms required for filing?
As far as I know many forms like 1099-R are for taxpayers record only and do not have to be filed with the return. Another words, does Turbo Tax sends more when e-filed than the paper filing would normally require?
The IRS only receives the appropriate Schedules and Forms for your tax situation - not the entire content of the data you have inputted into TurboTax.
The worksheets TurboTax prepares are not efiled.
Is the 1099-R form filed with 1040 returns? It says keep for your records, but this might not be the case when Turbo Tax files returns. Thanks
The actual form is not sent. Just the entries from it. The IRS already got a copy of W2s and 1099s from the payers. If the IRS needs to see the actual 1099 they will mail you a letter. You should keep copies of your return and all forms you get. Why are you asking?
I'm trying to properly file my foreign pension as a retirement or pension income not as Other Income. If you read my previous post you'd understand my frustration. Normally, data from a 1099-R form properly flows to state tax return when I can get my pension state exclusion. If reported as other income, wouldn't give me that exclusion. Turbotax provides a workaround which doesn't work properly. The only solution for filers like me is to report pension income on1099-R form, but foreign governments don't have Payer's ID numbers or report this income to the IRS, so forms 1099-R without FIN or EIN would produce an error and prevent e-filing. Old tricks with nine 9 digits or nine 1s don't work anymore. This needs to be properly addressed and fixed.
It is likely that the IRS will not allow a form 1099-R to be filed electronically anymore without a valid employer ID number. TurboTax nor any other tax software provider would have a way to override that. Here are the steps to enter a substitute form 1099-R so you can report your foreign pension as such in TurboTax:
To enter a substitute form 1099-R in Turbo Tax follow these instructions:
A substitute 1099-R also requires a valid employer ID number. Without a valid ID it would generate an error and would prevent e-filing. I've tried that, not a solution to the problem.
FYI, I'm not filing 1099-R, that form supposed to be filed by a payer not receiver.
Foreign governments don't have the US federal payer's ID numbers.
I'm surprised that Intuit can't fix that problem.
Next year I'm definitely checking other tax preparing options.
Dave, there are other combinations of number you could put and make this work, but I don't think this is the right solution to this problem, besides, it's possible that that number is a valid payers's federal identification number used by a legit US company. I just tried again a substitute 1099-R with foreign country code and it worked until I tried to input Gross Distribution in box 1 different than zero. You can mark it as substitute and explain the reason why you're filing it, Turbo Tax would still generate an error and won't let you e-file. In my view, the easiest way to solve the problem is to remove requirement for a FIN number for substitute 1099-R filers who receive distributions from foreign countries or make a worksheet for state filers showing that Other Income reported as foreign pension qualifies for the state exclusion. End of problem, is this so difficult???
I don't think so. They have 100s of worksheets, they could make one more.