Letter t in box 7 on form 1099r what does this mean? Should this be changed to a letter q and not taxable?

[George4Tacks]

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? 

[IRonMaN]

That was a helpful answer George, but why would my good friend Google want to fine someone for using that code? 😜

[George4Tacks]

cuz it dun't got a grammer chexer!

[qbteachmt]

"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.