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Reporting Governmental distributions under EGTRRA


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Guest Monster
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How will disbursements from a 457 Governmental Plan be reported in the future? There is disagreement as to whether distributions will be reported on Form 1099-R or W-2.

Previously, distributions were reportable on W-2. With new portability rules - it is assumed that Form 1099-R will now be required. We have not received firm confirmation as such.

Lastly, if the 1099-R is to be used, what of annuities in payout under settlement provisions of the contract? Would these also begin being reported on Form 1099-R? We have a running second conversation that these would be continued to be reported on Form W-2, regardless.

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