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April 15, 2024
Question

On 1099-r I changed box 7 (distribution code ) from 2 which is early distribution to 7 which is normal but federal due did not reduce by appropriate value.....???

  • April 15, 2024
  • 1 reply
  • 0 views
does anyone know why taxes did not go down?

1 reply

Employee
April 15, 2024

You shouldn’t change the code since the IRS will compare their form with yours. But the code 2 means there’s no penalty so the tax for both codes is the same.