Participant Distribution to self, within 60 days then elects to Rollover, does the 1099R need to be reworked?

[legort69]

Is it the responsibility of the TPA to change the 1099R for the IRS Code and taxable distribution amounts if the participant elects to rollover the funds at a future date? Example, If a participant receives 8,000 of a 10,000 distribution, and elects to rollover the 8k within the 60 days, does the TPA provide 2 1099Rs, one to show the rollover of 8k and one to show 2k as taxable and include 2k taxes withheld? Or does the participant need only work it out with the IRS on their own?

What if the participant rolls over after the end of the year and within the 60 days?

[Bird]

Good grief, don't we have enough to do without keeping track of what people do with their money after they get it! No, you simply report what happened - a taxable cash distribution, subject to withholding. If they do a rollover later, they will report it as such (and the recipient IRA is supposed to file a form, 5498 I think, reporting the rollover, so the IRS should be able to confirm it...it can happen over two calendar years; I don't know if the "missing" 5498, which will be filed for the second calendar year, will trigger an IRS inquiry, but it's legit).

[legort69]

Thanks for your reply, I thought the 5498 had something to do with it, but I just wanted to be certain.