The TaxAct® program will determine what amount (if any) needs to appear on Lines 15a and 15b of IRS Form 1040 according to the IRS instructions and the data entered in the program. Usually, if the amount is fully taxable, Line 15a is left blank and the total distribution is entered on Line 15b. Exceptions to this are listed in the IRS Instructions for Form 1040.
To enter the information from Form 1099-R that is used to calculate these amounts:
- From within your TaxAct return (Online or Desktop) click on the Federal tab. On smaller devices, click the menu icon in the upper left-hand corner, then select Federal
- Click Retirement Plan Income to expand the category, then click IRA, 401(k), and pension plan distributions (Form 1099-R)
- Click Add to create a new copy of Form 1099-R, or click Review to review a form already created
- The program will proceed with the interview questions for you to enter or edit the appropriate information. After you have entered the information from Form 1099-R, the necessary amounts will appear on Lines 15a and 15b.