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Covid 401k Withdrawal and three year taxable period

JoJo
Level 3

I have a 1099R for $32K that was withdrawn due to COVID.  I know that I can go to Line L on form 5329 and the distribution will not subject to the penalty.  I also know on the 1099R worksheet I can scroll down to the Qualified Disaster portion and mark the 2020 disaster box and enter the amount.  My question is do I enter the whole $32k or just the portion that is going to be reported for this year?  I want the taxable amount to be spread over a three year period.  If I enter the entire $32K how do I get the taxable portion of $10,667. on line 5b of form 1040?  When I originally entered the 1099R both box 1 Gross distribution and box 2 Taxable amount are $32K.  Do I override the taxable amount and enter $10667?  If so, will it be able to be electronically filed?  I do realize that form 8915-E is not eligible to be e-filed and will have to be attached to the file before efiling.  I am using Pro Series Basic. 

 

 

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Terry53029
Level 11
Level 11

The Program is not updated to handle the 3 year distribution, so we will have to wait for Intuit to update. Maybe someone that has that info will chime in.

View solution in original post

9 Replies 9
Terry53029
Level 11
Level 11

The Program is not updated to handle the 3 year distribution, so we will have to wait for Intuit to update. Maybe someone that has that info will chime in.

View solution in original post

JoJo
Level 3

Thank you for the information!

dkh
Level 11

Are you trying to circumvent using the Form 8915-E so you can efile the return?   Sounds like a bad idea.

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JoJo
Level 3

No, I know 8915-E can not be efiled.  I am trying to get the proper taxable amount to flow through to form 1040  line 5b.

Just-Lisa-Now-
Level 15
Level 15

"Do I override the taxable amount and enter $10667?  If so, will it be able to be electronically filed?  I do realize that form 8915-E is not eligible to be e-filed and will have to be attached to the file before efiling."

This is what we are all wondering, how will this work since the 8915E cannot be Efiled.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
Terry53029
Level 11
Level 11

@Just-Lisa-Now- If you hover your mouse over the check box on the 1099R worksheet for 2020 corona-virus distribution, there is an explanation.

Just-Lisa-Now-
Level 15
Level 15

this one?  

 

covidmessage.png


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
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athaureaux6
Level 7

I do not know how much time the Intuit engineers need to fix all this mess. They have done nothing since January. Other softwares with less recognition have their program running and updated. Maybe they are on vacation or working from home. Who knows. 

 

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qbteachmt
Level 15

"I do not know how much time the Intuit engineers need to fix all this mess."

Wow. It starts with the IRS, you know:

"Because Form 8915-E is new and impacted by recent legislation, it has not been enabled in XML for e-filing, and e-filed returns are to include an attached PDF of Form 8915-E."

https://www.irs.gov/forms-pubs/alternative-filing-method-for-e-filed-returns-that-include-form-8915-...

Let's not be disrespectful of people that are not in charge.

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