What if I have a CSA-1099-R?

Enter the CSA-1099-R just like a normal 1099-R. The only difference is that the taxable amount of the annuity needs to be entered on Line 2a of the 1099-R.

Where can I get my total basis in IRAs for 2013 and earlier years?

Look on Form 8606, Line 14 of your 2013 tax return to get the total IRA basis from prior years. If your 2013 tax return did not have a Form 8606, then find the Form 8606 from your 2012 tax return to get the total IRA basis from prior years. If you don't have a prior year Form 8606 or your prior year Form 8606 is inaccurate, calculate your IRA basis from prior years by adding up all of the IRA contributions you have made over the years, then subtracting the IRA deductions you have taken on your tax returns over the years. The difference is the total amount of nondeductible IRA contributions you have made in prior years and is your total IRA basis.

Where can I get my spouse's total basis in IRAs for 2013 and earlier years?

Look on your spouse's Form 8606, Line 14 of your 2013 tax return to get the total IRA basis from prior years. If your 2013 tax return did not have a Form 8606 for your spouse, then find the Form 8606 for your spouse from your 2012 tax return to get the total IRA basis from prior years. If you don't have a prior year Form 8606 for your spouse or your spouse's prior year Form 8606 is inaccurate, calculate your spouse's IRA basis from prior years by adding up all of the IRA contributions your spouse has made over the years, then subtracting the IRA deductions your spouse has taken on your tax returns over the years. The difference is the total amount of nondeductible IRA contributions your spouse has made in prior years and is your spouse's total IRA basis.

What is a rollover?

A rollover is one of the following:
  1. When you move money from your employer's retirement plan to a different employer's retirement plan or to an IRA account within 60 days of receiving the distribution.
  2. When you move money from your IRA account to a different IRA account or retirement plan within 60 days of receiving the IRA distribution.

How much is my rollover if my old employer withheld 20% of my distribution for taxes?

The amount of your rollover is the actual dollar amount you moved into your new employer retirement plan or into your IRA account.

For example, if your total distribution was $1,000, but your old employer only sent you $800 because they withheld $200 in federal withholdings, then your rollover is $800 if you moved $800 into an IRA account. If you moved $1,000 into the IRA account (you added $200 of your own money to equal the amount of federal withholdings), then your rollover is $1,000.

Where can I find the year-end value of my IRA?

Look on your year-end statement from the broker or financial institution that manages your IRA to find the value of your IRA as of December 31, 2014.

Where can I find the year-end value of my spouse's IRA?

Look on your year-end statement from the broker or financial institution that manages your spouse's IRA to find the value of your spouse's IRA as of December 31, 2014.

What does the number or letter in Box 7 of my 1099-R mean?

Box 7 is the distribution code that identifies the type of distribution received. The following are the codes and their definitions:
1 - Early distribution, no known exception (in most cases under age 59 1/2)
2 - Early distribution, exception applies (under age 59 1/2)
3 - Disability
4 - Death
5 - Prohibited transaction
6 - Section 1035 exchange
7 - Normal distribution
8 - Excess contributions plus earnings taxable in 2014
9 - Cost of current life insurance protection
A - May be eligible for 10-year tax option (not supported)
B - Designated Roth account distribution
D - Annuity payments from nonqualified annuities that may be subject to tax under section 1411.
E - Distributions under Employee Plans Compliance Resolution System (EPCRS)
F - Charitable gift annuity
G - Direct rollover to a qualified plan.
H - Direct rollover of a designated Roth account distribution to a Roth IRA.
J - Early distribution from a Roth IRA, no known exception (in most cases under age 59 1/2)
K - Distribution of IRA assets not having a readily available FMV
L - Loans treated as distributions
N - Recharacterized IRA contribution
P - Excess contributions plus earnings/excess deferrals taxable in prior year
Q - Qualified distribution from a Roth IRA
R - Recharacterized IRA contribution
S - Early distribution from a SIMPLE IRA in first 2 years, no known exception (under age 59 1/2) May be subject to an additional 25 percent tax.
T - Roth IRA distribution, exception applies
U - Dividend distribution from ESOP under section 404(k).
W - Charges or payments for purchasing qualified long-term care insurance contracts under combined arrangements.

Why isn't my pension distribution showing up as taxable income on my return?

You need to check three things. First, make sure you entered the taxable amount of the pension distribution on Box 2a of the 1099-R screen. The amount entered on Box 2a is what will be treated as taxable pension income.

Second, check the Box 7 distribution code on the 1099-R screen to make sure you selected the correct distribution code. Generally, the code will be a 1 if its an early retirement distribution subject to the 10% penalty, or it will be a 7 if it is a normal retirement distribution.

Third, make sure you didn't select to treat the distribution as a rollover. On the screen right after the 1099-R screen, the Distribution Rollover screen, there is a checkbox that if marked, will treat the entire 1099-R distribution as being a rollover and not taxed. There is also an amount box on that screen where you can specify part of the distribution as a rollover. Make sure those aren't used if the 1099-R wasn't a rollover distribution.

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