What is a 1099R?

Form 1099R is an IRS form reporting a taxpayer’s distributions from pensions, annuities, IRAs, insurance contracts, profit-sharing plans and/or retirement plans (including section 457 state and local government plans). Form 1099R must be sent to the taxpayer by January 31 of the year following the calendar year in which the distributions occurred. Form 1099R is sent to the taxpayer for any distribution exceeding $10. Form 1099R reports the gross distribution, any taxable amount applicable to that gross distribution, and any portion of federal income that was withheld. Form 1099R also shows capital gains associated with the distribution. Form 1099R will also report insurance premium paid or contributions to the plan made by the taxpayer. In the case of lump sum distributions from a qualified plan or employee contributions, Form 1099R will show the net unrealized appreciation (NUA) in employer’s securities or in the employee contributions. Form 1099R must also identify the nature of the distribution by reporting a distribution code.

Source: http://www.investorglossary.com/1099r.htm

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