1099-R box 5 not working on Turbo Tax wont deduct from box 1?

Forum|Forum|1 year ago
February 19, 2025
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1099-R I have entry in box1, box 2 and box 5 don't think box 5 is working its not dedcting from line 1

JohnB5677

Don't do anything until you check your tax return Form 1040

On desktop click FORMS (top right corner) and select 1040.
In the Online version, follow these steps

From the left sidebar

Select Tax tools
Hint: You may have to minimize the Federal and State selections
Click Tools
A Menu will pop up
Select View tax summary
On the left panel click Preview my 1040

Look at lines 4a and 5a

Compare these to 4b and 5b

If you do not see a reduced taxable amount:

You can make a manual adjustment to the 1099-R by subtracting Box 5 from Box 1 and entering it in box 2a.

Edited 02/25/2025 | 4:09 AM PST

@ousooner18

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ousooner18Author

I have the Premier version downloaded. It continues to show the amount in box 1 as my income even though It should only be the interest in box 2A Taxable income. Example Box 1 $100,000 Box 2A Taxable income $5,000 Box 5 Employee contribution $95,000. In this case it shows that $100,000 was income but i am only getting taxed on the $5,000. but the income bracket is way higher so I am paying higher tax bracket.

ThomasM125

I think you mean line 5b on your Form 1040 is $5,000 which is the taxable amount of your pension distribution. If so, then your tax would be calculated using that amount, not your gross distribution. You can look on your Tax Smart Worksheet to see what makes up your tax. You will see that when you pay for your TurboTax program. It is possible that you are subject to an alternative minimum tax (AMT) or other taxes that are resulting in you being taxed more than on the normal tax rates. You can also look on Schedule 2 to see if you are subject to additional taxes.