Question

TurboTax Deluxe 2020 is in error 1099-R Pension income shows on return as IRA distribution

Forum|Forum|5 years ago
February 25, 2021
3 replies
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Please fix turbotax 2020

TurboTax Deluxe Online

Check your entries to make sure you did not check the box that says IRA/SIMPLE/SEP box is checked. This is located between Box 7 and 8 in your program.

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VolvoGirl

Employee

What is wrong with it? Did it show up on 1040 line 4 instead of 5? Or why do you think it's showing as IRA?

T

tmhanesAuthor

My pension (Via 1099-R) shows up on lines 3a and 3b (3a Qualified dividends . . 3a b Ordinary dividends)

My wife's pension (also 1099-R) shows up on 4b. 4a IRA distributions . . . 4a b Taxable amount . . 4b

Very confusing, I would expect the two pension amounts to be the sum of mine and my wife's.

Thanks for any clarification you can provide.

VolvoGirl

Employee

Did you enter your 1099R in the wrong place? Go back and delete it and enter it like your wife's. Except your wife's pension should be on line 5 not line 4. There is a little IRA checkbox between boxes 7&8 on the 1099R. It should not be checked. Go back and make sure it is not checked on the screen. I would also delete her 1099R and re enter it.

@dmertz any reason a 1099R would be on line 3 Dividends?

T

tmhanesAuthor

I have found what I believe is an ERROR in TurboTax Deluxe for tax year 2020.

I originally opened a question regarding why my wife's Pension amount was being listed as an IRA distribution.

As suggested by some fellow forum experts, I checked my input of 1099-R for my wife's pension and found the

IRA/SEP/SIMPLE box was checked, which caused the error in pension handling. I was absolutely sure I had NOT checked the IRA/SEP/SIMPLE box.

I made some other adjustments to my return later and the IRA/SEP/SIMPLE box was checked again BY TURBOTAX not by me. So TurboTax Deluxe infact has a BUG relating checking the IRA/SEP/SIMPLE box.

I don't know the formal process for reporting programming errors in TurboTax Deluxe but there is a bug for sure.

Timothy M Hanes

[email address removed]

[phone number removed]