Does non-taxable 1099 require filing?

[Greenbriar]

Have a client who would not have to file if it were not for a 19,000 1099R from a company plan that is non-taxable because her deceased husband contributed the whole 19,000 when he worked for the company. I am inclined to file it (not for the fee) because of the size of the 1099R. Anything specific about this in TTB? Could not find it. thanks.

[Kram BergGold]

What I would do

If the 1099 shows that gross is $19k but taxable is zero I would not file. If the 1099 shows taxable is 19k but you know this is wrong due to post tax contributions then I would file a return.

[ChEAr$]

If the 1099 shows that gross is $19k but taxable is zero I would not file. If the 1099 shows taxable is 19k but you know this is wrong due to post tax contributions then I would file a return.

I kinda think IRS computers will be trying to match up the gross of 19K.

[FEDUKE404]

Would file

I kinda think IRS computers will be trying to match up the gross of 19K.

Agree - with the IRS you frequently have to "prove your innocence."

If that is all you have, a simple efiled return cannot be too much work.

I am a bit curious as to what distribution code(s) (Box 7) might be on the Form 1099R.

Also, I am a bit concerned about the logic ("is non-taxable because her deceased husband contributed the whole 19,000 when he worked for the company") being applied. One would think there might have been some earnings/growth/etc along the way? Is there even an entry in Boxes 2a/2b of the Form 1099-R??

FE

[taxmom34]

could it have been a 401K?

[Burke]

If the 1099 shows that gross is $19k but taxable is zero I would not file. If the 1099 shows taxable is 19k but you know this is wrong due to post tax contributions then I would file a return.

I agree with this. Depends on how they reported it. If Box 2 is blank, or box is checked "taxable amt not determined," then file. If Box 2 says "zero," then no. Also, what TaxMom34 said is valid. He might have contributed the whole amount, but it might have been pre-tax. And as also posted, there is that pesky matter of earnings? I don't think we have all the information here. Box 7 should be a Code 4 or G (rollover).

[powerage]

I agree with Kram. It is non-taxable income.

[taxea]

If the 1099 is in her name with her SSN or if she is filing MFJ because the husband died in 2011 then you have to file it. What code is in box 7?

[FEDUKE404]

Relevant facts are necessary

I agree with Kram. It is non-taxable income.

Not to appear argumentative, but based upon the facts so far presented I cannot reach that conclusion at all.

If the OP would provide us more information as to the relevant details on the Form 1099-R, or more background details, we all could have a greater grasp on the situation.

My guess is we are more than likely dealing with either a 401(k) plan distribution or a retiree/beneficiary retirement distribution. Further down the food chain is perhaps an annuity pay-out or even life insurance proceeds?? Surely the widow has more information than a mere Form 1099-R?

FE

[S T]

FE stated it well - more facts are necessary,
however, I would say if it is for $ 19,000 even with -0- Taxable I would file

Let us not forget the IRS Computer Match, and sometimes "IT does not read well or have an understanding"

Too much $$ to ignore, even if only in Box 1

Sandy

[Jiggers]

FE stated it well - more facts are necessary,
however, I would say if it is for $ 19,000 even with -0- Taxable I would file

Let us not forget the IRS Computer Match, and sometimes "IT does not read well or have an understanding"

Too much $$ to ignore, even if only in Box 1

Sandy

I see a lot of 1099R's with nothing in box 2. Many times the preparer of the 1099R has no clue on what to put there. Just because there is nothing in box 2 doesn't mean that it is not taxable.

Sounds like some of my clients who say that they didn't make money on a sale of something, so they don't have to report it..................

If you don't report it, you can expect the CP2000 and then you have to explain to your client why you didn't report it.