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The form has a table with it for the instructions on what all those codes need. Google could probably fine "1099R box 7 code t"
Oh Well! It is a Roth distribution and exceptions apply.
Now are you gonna ask what "exceptions apply" means?
Answers are easy. Questions are hard!
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cuz it dun't got a grammer chexer!
Answers are easy. Questions are hard!
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"Should this be changed"
The 1099-R is for money Out, by the reporting entity that doesn't know everything about your taxpayer.
"Use Code T for a distribution from a Roth IRA if you do not know if the 5-year holding period has been met but: The participant has reached age 59 1/2, The participant died, or. The participant is disabled."
"Only use Code Q, Qualified distribution from a Roth IRA, when the IRA owner has met the five-year waiting period and is either age 59½ or older, has died, or is disabled (assuming there is proof of the disability)."
Because the 5-year account holding period could be met from having a different Roth IRA account somewhere else. Or maybe it isn't met. It certainly wasn't met with that account. Therefore, the issuing entity used T.
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