I have a client who rolled over a qualified plan so they have a 1099-R but the client ended up depositing the check to a Roth IRA and not a Traditional IRA. The 1099-R is coded as a non-taxable rollover but because of the deposit to the Roth IRA, it is definitely taxable. My question is that I do not know how to change this in Pro-Connect to have the return represent that income. The 1099-R has a $0.00 in box 2 (taxable amount) but do I just enter the Roth conversion amount in that section?
You can’t rollover pretax dollars into a Roth without paying tax on the money first. The distribution is taxable so enter the distribution in box 2 as taxable.
You can’t rollover pretax dollars into a Roth without paying tax on the money first. The distribution is taxable so enter the distribution in box 2 as taxable.
Perfect! That is what I suspected but I didn't know if it was ok to report that differently than what was reported to the IRS on the 1099R. Thank you so much!
The issuer only codes what they understand is going to happen. They don't know what actually happened.
******************************* Don't yell at us; we're volunteers
0
Cheers
You are leaving Intuit Accountants Community.
You have clicked a link to a site outside of the Intuit Accountants Community. By clicking "Continue", you will leave the community and be taken to that site instead.
