Received 2 1099-R's for my Roth IRA

[Guest Lonnie_parry]

In 1998 I had a 401-K which I converted to a Rollover IRA. It was then converted to a Roth IRA also in 1998.

I just received 2 Form 1099-R's for 1998. One is for the conversion to the Rollover and another for the conversion to the Roth. Excluding my account number, the information on them is identical. The distribution code in Box 7 is G on both, etc..

The financial institution who sent them said I need both and the boxes are checked off correctly. I don't feel

comfortable with this explanation and am leary that the IRS may want to tax me twice on the amount. Does anyone know about the logistics of getting 2 of these Form 1099-R's?

Thanks.

[Dawn Hafner]

I agree that 2 1099-Rs should be issued. The first one shows that you rolled over an amount from your plan into an IRA. The correct code for this is "G" and there should be 0.00 entered in the taxable amount box 2a.

Where I see a problem is that you said you then converted your traditional IRA to a Roth IRA. Are you sure they are showing a "G" on that 1099-R? The code for a Roth conversion should be "2" if you are younger than 59 1/2 and "7" if you are older. Your rollover amount should also show as taxable in box 2a because converting to a Roth IRA is a taxable event.

[Guest Lonnie_parry]

Yes. The 1099-R which reflects the conversion from the traditional IRA to the Roth IRA does show a "G" in Box 7. The taxable amount in Box 2a is $00.00.