1099R Needed or NOt?

[ddoshan]

I just had a client who rolled over a large amount from her 401K via Fidelity to an IRA via another company. She did not receive a 1099R with code G from Fidelity. I told her I thought she should have received a 1099R. She called both Fidelity and the other Company that received the rollover and was advised that no 1099R was needed / required to be issued for the rollover.
Anyone agree or disagree. I assumed one was required.

[ChEAr$]

In such a direct rollover, no 1099r required.

[ddoshan]

In such a direct rollover, no 1099r required.

Thanks .. good to hear it from another source

[S T]

Encountered this a few times, and the Institution that transferred with paper work for a direct rollover to another instituion claims they DO NOT have to issue the 1099R with Code G

I have always liked the paperwork and note as same on the Tax Return with a 1099R form ----In the event I do not have the 1099R for a "code G" I work closely with the client and the institution receiving the rollover, and ask for paperwork or at least to make sure the T/p has in their file, in case of the dreaded CP 2000 notice a year and half later.

Sandy

[TaxGuyBill]

From what I am reading in the instructions, it IS required. It is required for a 401k to an IRA, but not an IRA to an IRA.


"You must report a direct rollover of an eligible rollover distribution. A direct rollover is the direct payment of the distribution from a qualified plan, a section 403(b) plan, or a governmental section 457(b) plan to a traditional IRA, Roth IRA, or other eligible retirement plan."

http://www.irs.gov/instructions/i1099r/ar02.html#d0e418

"Generally, do not report a transfer between trustees or issuers that involves no payment or distribution of funds to the participant, including a trustee-to-trustee transfer from one IRA to another IRA ... However, you must report: ... Direct rollovers from qualified plans".

http://www.irs.gov/instructions/i1099r/ar02.html#d0e670

As for what to do, I have no idea. Sorry. Maybe send the citations to the 401k company?