- 5 -
|
Instructions for Recipient as periodic payments, nonperiodic payments, or a total distribution.
Generally, distributions from retirement plans (IRAs, qualified plans, Report the amount on Form 1040, 1040-SR, or 1040-NR on the line
section 403(b) plans, and governmental section 457(b) plans), for “IRA distributions” or “Pensions and annuities” (or the line for
insurance contracts, etc., are reported to recipients on Form 1099-R. “Taxable amount”) and on Form 8606, as applicable. However, if this
Qualified plans and section 403(b) plans. If your annuity starting is a lump-sum distribution, see Form 4972. If you haven’t reached
date is after 1997, you must use the simplified method to figure your minimum retirement age, report your disability payments on the line
taxable amount if your payer didn’t show the taxable amount in box for “Wages, salaries, tips, etc.” on your tax return. Also report on that
2a. See the instructions for your tax return. line permissible withdrawals from eligible automatic contribution
IRAs. For distributions from a traditional individual retirement arrangements and corrective distributions of excess deferrals, excess
arrangement (IRA), simplified employee pension (SEP), or savings contributions, or excess aggregate contributions except if the
incentive match plan for employees (SIMPLE), generally the payer isn’t distribution is of designated Roth contributions or your after-tax
required to compute the taxable amount. See the instructions for your contributions or if you’re self-employed.
tax return to determine the taxable amount. If you’re at least age 73, If a life insurance, annuity, qualified long-term care, or endowment
you must take minimum distributions from your IRA (other than a Roth contract was transferred tax free to another trustee or contract issuer,
IRA). If you don’t, you’re subject to an excise tax on the amount that an amount will be shown in this box and code 6 will be shown in box
should’ve been distributed. See Pub. 590-A and Pub. 590-B for more 7. If a charge or payment was made against the cash value of an
information on IRAs. annuity contract or the cash surrender value of a life insurance
Roth IRAs. For distributions from a Roth IRA, generally the payer isn’t contract for the purchase of qualified long-term care insurance, an
required to compute the taxable amount. You must compute any amount will be shown in this box and code W will be shown in box 7.
taxable amount on Form 8606. An amount shown in box 2a may be You need not report these amounts on your tax return. If code C is
taxable earnings on an excess contribution. shown in box 7, the amount shown in box 1 is a receipt of reportable
Loans treated as distributions. If you borrow money from a qualified death benefits that is taxable in part.
plan, section 403(b) plan, or governmental section 457(b) plan, you Box 2a. This part of the distribution is generally taxable. If there is no
may have to treat the loan as a distribution and include all or part of entry in this box, the payer may not have all the facts needed to figure
the amount borrowed in your income. There are exceptions to this the taxable amount. In that case, the first box in box 2b should be
rule. If your loan is taxable, code L will be shown in box 7. See Pub. checked. You may want to get one of the free publications from the
575. IRS to help you figure the taxable amount. See Additional information
Recipient’s taxpayer identification number (TIN). For your on the back of Copy 2. For an IRA distribution, seeIRAs and Roth
protection, this form may show only the last four digits of your TIN IRAs, earlier. For a direct rollover, other than from a qualified plan,
(SSN, ITIN, ATIN, or EIN). However, the payer has reported your section 403(b) plan, or governmental section 457(b) plan to a
complete TIN to the IRS. designated Roth account in the same plan or to a Roth IRA, zero
Account number. May show an account, policy, or other unique should be shown and you must enter zero (-0-) on the “Taxable
number the payer assigned to distinguish your account. amount” line of your tax return. If you roll over a distribution (other
Box 1. Shows the total amount distributed this year. The amount may than a distribution from a designated Roth account) from a qualified
have been a direct rollover, a transfer or conversion to a Roth IRA, a plan, section 403(b) plan, or governmental section 457(b) plan to a
recharacterized IRA contribution; or you may have received it designated Roth account in the same plan or to a Roth IRA, you must
(Continued on the back of Copy C)
|