06h – Form 1099-R – Distributions from Pensions, Annuities, Retirement, or Insurance Contracts:-

📘 Form 1099-R – Distributions from Pensions, Annuities, Retirement, or Insurance Contracts:-

Form 1099-R is issued when you receive a distribution of $10 or more from retirement-related accounts or contracts. It reports both taxable and non-taxable portions of the distribution.

🔹 When You Receive Form 1099-R

1.   Pension or Annuity Payments – Regular retirement income.
2.   401(k), 403(b), or 457(b) Distributions – Withdrawals from employer retirement plans.
3.   IRA (Traditional, SEP, SIMPLE) Distributions – Withdrawals or rollovers.
4.   Insurance Contracts – Certain life insurance or annuity payouts.
5.   Roth IRA Conversions – Moving funds into a Roth IRA.
6.   Early Distributions (before age 59½) – May include penalties unless exceptions apply.

🔹 Key Information on Form 1099-R

*Box 1: Gross distribution (total amount paid).
*Box 2a: Taxable amount (what you must report as income).
*Box 4: Federal income tax withheld.
*Box 7: Distribution code (explains type of withdrawal – normal, early, rollover, etc.).

📅 Deadline
Sent to taxpayers: By January 31
Filed with IRS: By February 28 (paper) / March 31 (e-file)

💡 Example
👉 If you withdrew $15,000 from your Traditional IRA in 2024, you’ll receive Form 1099-R in Jan 2025. Unless it was a rollover, most or all of it will be taxable and reported on Form 1040, lines 4a–4b.

✅ Tip: Keep track of rollover vs. taxable withdrawals — rollovers are usually non-taxable but must still be reported.