TurboTax FAQ
TurboTax FAQ
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What do all the codes in Box 7 of the 1099-R mean?

The code(s) in Box 7 of your 1099-R helps identify the type of distribution you received. We use these codes and your answers to some interview questions, to determine if your distribution is taxable or subject to an early withdrawal penalty.

Box 7 Distribution Codes: 

  • 1 – Early distribution (except Roth), no known exception
  • 2 – Early distribution (except Roth), exception applies
  • 3 – Disability
  • 4 – Death
  • 5 – Prohibited transaction
  • 6 – Section 1035 tax-free exchange
  • 7 – Normal distribution
  • 8 – Excess contributions plus earnings/excess deferrals (and/or earnings) taxable in 2016
  • 9 – Cost of current life insurance
  • A – May be eligible for 10-year tax option
  • B – Designated Roth account distribution
  • D – Annuity payments from nonqualified annuities and distributions from life insurance contracts subject to section 1411 taxes
  • E – Distributions under Employee Plans Compliance Resolution System (EPCRS)
  • F – Charitable gift annuity
  • G – Direct rollover and direct payment
  • H – Direct rollover of a designated Roth account distribution to a Roth IRA
  • J – Early distribution from a Roth IRA
  • K – Distribution of IRA assets not having a readily available fair market value (FMV)
  • L – Loans treated as deemed distribution
  • N – Recharacterized IRA contribution made for 2016 and recharacterized in 2016
  • P – Excess contributions plus earnings/excess deferrals taxable in 2015
  • Q – Qualified distribution from a Roth IRA
  • R – Recharacterized IRA contribution made for 2015 and recharacterized in 2016
  • S – Early distribution from a SIMPLE IRA in the first 2 years, no known exception
  • T – Roth IRA distribution, exception applies
  • U – Dividend distribution from ESOP under sec 404(k)
  • W – Charges/payments for purchasing qualified long-term care insurance contracts

Enter the information on your 1099-R as it appears. If you have concerns about the accuracy of the information, contact the payer listed on the form to issue a corrected 1099-R, if necessary.


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