Good evening, everyone.

I have a client who had a traditional IRA distribution via 1099-R, and of the total box one and box two distribution, $7k was for a charitable contribution for TY2024. Unfortunately, due to USPS issues, the check never arrived at the organization and was not cashed, but was also not discovered by the client until this year (2025). 

The financial house will not correct the 1099-R to indicate the funds were not distributed in 2024 (2 hours on the phone). They also will not reissue the contribution stating it was for TY 2024 since it is now 2025. They have said the contribution can only be reported for the year the check is sent.

So, how do I correctly report the 1099-R as less taxable by the unreceived $7k, since the funds weren't distributed to either the client or the charity? I feel like if I just adjust the amount in box 2, it is going to trigger a letter or audit by the IRS due to not matching up with the reported document. 

Thanks, y'all. I've never experienced this before!

Devera