Form 1099-R - Basic Information

TaxAct uses the entries made for all Forms 1099-R Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. to calculate the amounts that appear on Line 4a, 4b, 5a, or 5b of Form 1040 U.S. Individual Income Tax Return. If you think an amount regarding your retirement plan income is incorrect on Form 1040, review your Form 1099-R entries by following the steps below.

To enter or review Form 1099-R Distributions From Retirement Plans in TaxAct:

  1. From within your TaxAct return (Online or Desktop), click Federal (on smaller devices, click in the top left corner of your screen, then click Federal).
  2. Click the Retirement Plan Income dropdown, then click IRA, 401(k), and pension plan distributions (Form 1099-R).
  3. Click + Add Form 1099-R to create a new copy of the form or click Edit to edit a form already created (desktop program: click Review instead of Edit).
  4. Click Step-by-Step Guidance to continue with the interview process and enter your information.

If you change any of the key 1099-R entries — including Boxes 1, 2a, 2b, 7 (both the numeric and alpha codes), and the IRA/SEP/SIMPLE checkbox — it may affect the outcome of your return.

For example, if the taxable portion of the distribution doesn’t appear on Line 4a, this may be because Boxes 2a and/or 2b aren’t properly filled out. You may also need to ensure the IRA/SEP/SIMPLE box is checked.

Additional questions (if applicable)

You may be asked additional questions related to the following:

  • converted a traditional IRA to a Roth IRA
  • inherited an IRA
  • need to use the Simplified Method
  • rolled over amounts from an employer plan or traditional IRA 5329 Additional Taxes on Qualified Plans or Form 8606 Nondeductible IRAs

In these instances, once you get back to the screen titled Form 1099-R Summary after entering all the Forms 1099-R, click Continue. You’ll see only the additional screens if your entries indicate these forms are needed.

Note that any link in the information above is updated each year automatically and will take you to the most recent version of the webpage or document at the time it is accessed.