momof3 Posted February 28, 2008 Report Share Posted February 28, 2008 Clients received 1099-R for excess contributions. Gross amount is $800 and taxable amount is $50. Distribution code J ( early distribution ) and P (excess contribution). Is this subject to the 10% penalty? If so, is the entire amount of $850 subject to it? If not, what code to I use to exclude it? Thanks for the help. Quote Link to comment Share on other sites More sharing options...
lsowers Posted February 28, 2008 Report Share Posted February 28, 2008 Use form 8606 to report basis Quote Link to comment Share on other sites More sharing options...
joanmcq Posted February 28, 2008 Report Share Posted February 28, 2008 Got one of these; confused the heck out of me...because its not taxable on the 2007 return (look up code P). Its taxable on the 2006 return, so you are supposed to amend. Quote Link to comment Share on other sites More sharing options...
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