Have Tax Questions? Ask a Tax Expert for Answers ASAP
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The best way to make sure you do not have an adverse tax consequence is to contact your investment adviser and request that they adjust the 1099 to correctly display the information. Otherwise, no matter what you record on you r tax return, you may receive an inquiry or letter from the IRS. If you have any questions, please do not hesitate to contact me.
can the investment adviser amend the 1099 before it is filed?
No, an amendment is not necessary if the investment adviser hasn't reported the 1099. Chances are, they have not reported since they are not due until after year-end.
Most investment advisers will amend, if the 1099 is filed in order to keep on good terms with the client.
If you have any questions, please do not hesitate to contact me. Thank you, XXXXX XXXXX CPA
so, we could just take the after tax dollars that were rolled over into the rollover IRA, a few months ago, and send them to a taxable or roth IRA account and they would retain their after-tax status because the investment adviser had not filed the 1099 for this year yet?
You will need to discuss the specifics with the adviser since there are time limits on these types of transactions. However, there is a good possibility that you may claim that the transaction was unintentional and fix it without any repercussions.