I rolled over my 401K to an IRA. It was an indirect rollover and the check was deposited within 60-days. I received a 1099-R but I believe I need to only report in 1040

Forum|Forum|1 year ago
February 10, 2025
2 replies
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Where should I enter the 1099-R information since I didn't take the money, I deposited it immediately into a new IRA. My accountant said I should not have received a 1099-R. And online it says I should only report 1040 but I can't find that form. This is not Roth.

VolvoGirl

Employee

Yes you need to enter it. What code is in box 7?

After you enter the 1099R it will ask what you did with it. Pick you moved the money to another account even if you put it back into the same account. Then that will expand and you pick I rolled over all this money. Then it will expand to enter how much you rolled over.

Did they take any withholding out of it? If they did you had to add it back in from your own money when you put it back or the withholding will become a distribution by itself.

If you are looking at a summary screen or review screen those show the full amount as income and lump a lot of stuff together. You need to check the actual 1040 form and make sure it's right. Check lines 5b for any taxable amounts. For a rollover line 5b should be zero and the word Rollover by it.

Enter a 1099R under
Federal Taxes on left
Wages & Income
Then scroll way down to Retirement Plans and Social Security
Then IRA, 401(k), Pension Plan Withdrawals (1099-R) – Click Start
If you are adding another 1099R there might be a Add button at the bottom of the list.

veraknaus17Author

Box 7 - G

distribution code

No withholdings.

Money from the 401K was moved to traditional IRA. Now that I entered the 1099-R, it shows up in the Income section on TurboTax, as a Gross Distribution. Is that correct?

I want to make sure that code G let's them know that I didn't withdraw the money and use it, it was indirectly rolled over to a traditional IRA.

VolvoGirl

Employee

Code G is for a Direct Rollover. I guess you can use G even though you got a check. As I said above on your actual 1040 line 5a should be the gross amount and 0 on line 5b for the taxable amount with the word Rollover by it.

paging @dmertz

VolvoGirl

Employee

Oh the 1040 is the tax return you are filling out. You don't enter directly into the 1040. You enter the 1099R and any other forms you get like W2s and interest, dividends etc. and Turbo Tax fills out the 1040 for you.