Question

How do I enter a 1099R distribution guided by 72T rules?

Forum|Forum|7 years ago
June 3, 2019
2 replies
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72T?

Employee

Enter the Form 1099-R exactly as received under Wages & Income (or Personal Income) -> Retirement Plans and Social Security -> IRA, 401(k), Pension Plan Withdrawals (1099-R), then answer the follow-up questions.

If the code on the Form 1099-R is code 2 or 7, TurboTax will automatically treat the distribution as not subject to an early-distribution penalty. Otherwise, later when TurboTax prompts you enter amounts that are exempt from the early-distribution penalty, enter the amount of the distribution as the amount received as Equal Periodic Payments.

B

beaumont4

Turbo is not asking me if it is a periodic payment.

T

toddlabhart

If the code on the Form 1099-R is code 2 or 7, TurboTax will automatically treat the distribution as not subject to an early-distribution penalty. Otherwise, later when TurboTax prompts you enter amounts that are exempt from the early-distribution penalty, enter the amount of the distribution as the amount received as Equal Periodic Payments.

What happens if the code is a 1?

D

dmertz

Employee

@toddlabhart , you sort of answered your own question. For code 1, TurboTax will prompt you enter amounts that are exempt from the early-distribution penalty for particular reasons. For an amount that you indicate was received as a series of substantially equal periodic payments, TurboTax will put the amount on Form 5329 line 2 with code 02.