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Posted

does anyone have experience with 1099R coding when old post-tax contributions are cashed out of a qualified retirement plan?  I have always been under the impression that there is no code and leave Box 7 blank, adding the post-tax contribution amount in Box 5, and the taxable field would be 0.00.  any push back on this?  I have submitted several 1099Rs to the IRS over the years like this.  now being questioned that there should be a code in Box 7.   thanks!

Posted

I think you always need a code, probably 1 or 7.  I guess it doesn't matter if the taxable amount is $0 but still, I'd think it would be rejected with no code.

Ed Snyder

Posted
22 minutes ago, Bird said:

I think you always need a code, probably 1 or 7.  I guess it doesn't matter if the taxable amount is $0 but still, I'd think it would be rejected with no code.

Agree.  Also IRS instructions say "Generally use Code 7 if no other code applies". 

Mike

Posted

software we use won't even let you exit without putting in a code.

aren't there taxes on the gains? this is different than a Roth. I'm not sure the taxable amount would be zero.

Posted
17 minutes ago, Tom Poje said:

software we use won't even let you exit without putting in a code.

aren't there taxes on the gains? this is different than a Roth. I'm not sure the taxable amount would be zero.

Coulda been a loss...

QKA, QPA, CPC, ERPA

Two wrongs don't make a right, but three rights make a left.

Posted

thanks for the input.  program I used did not reject if the code box wasn't filled in.  it reflects the original contributions only.  gains were included in the rollover amount.   the problem now is , my company has merged with another and I had to turn over this task to another department.  they use a different program and are insisting there needs to be a code , where I never used any before.

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