Forbes columnist Julie Jason quoted Tax Partner Thomas Filomeno about how to report non-taxable RMDs and coronavirus-related distributions in 2020.
By Julie Jason, JD, LLM
Filomeno pointed out that while the receipt of a 1099-R usually indicates taxable income, it doesn’t always. Form 1099-R indicates that the taxpayer received a distribution. But, even though the form may indicate a taxable amount in box 2a, that doesn’t necessarily mean that it is taxable for a very good reason: recipients of the distribution have the option to roll it over to an IRA.
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