Enter Roth distributions
Refer to Form 1099-R, Form 5498, and Form 8606 instructions, and IRS Publications 590-A and 590-B for exact reporting requirements. In addition, IRS Notices 98-50 and 1998-39 I.R.B. give more information about Roth IRA distributions, contributions, and recharacterizations.
To enter a distribution from a Roth IRA, complete the following steps.
- Open the1099Rscreen in theRetirementfolder and enter the gross distribution in box 1. Generally, box 2a should be left blank.
- Mark theTaxable amount not determinedcheckbox in box 2b.
- Use codeJ,T, orQin box 7. Don't mark the IRA/SEP/SIMPLE checkbox.
- Open theIRAscreen in theRetirementfolder and enter any current year contributions, basis information, and IRA values as necessary.note
- For distributions of excess Roth IRA contributions, report the gross distribution in box 1 and only the earnings in box 2a. Enter the code8orPin box 7. EnterXin theIRA/SEP/SIMPLEcheckbox.
- If the 1099 has distribution codeT, mark theContributions (or conversion) made 5 or more years agofield in the1099R-3screen.
