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Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 29573
Experience:  Taxes, Immigration, Labor Relations
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I for got to declare in 2009 the cashing in of 11,690.74out

Resolved Question:

I for got to declare in 2009 the cashing in of 11,690.74out of a Roth Ira of my wifes. I never got a 1099-R form. How do I know how much to put on line 1 Gross Distribution and line 2 taxable amount..Thanks Nick
Submitted: 6 years ago.
Category: Tax
Expert:  Lev replied 6 years ago.

LEV :

Hi and welcome to Just Answer!
First of all - I suggest contacting the administrator of your spouse’s Roth IRA account and asking for a copy of 1099-R form.
If you are not able to contract the administrator - you may request the tax account transcript from the IRS which contains all information about 1099 forms.
You need that information to know exactly the amount of distribution and the taxable amount. You also need to know if any federal income taxes were withheld from the distribution.
When you are taking a distribution from the Roth IRA account - your original contribution is distributed tax free, but earnings are taxable. Also earnings are subject of 10% penalty if your spouse is below 59 1/2 or if she held that Roth IRA account for less than 5 years.
To correct the error - you need to file the form 1040X - www.irs.gov/pub/irs-pdf/f1040x.pdf

Customer:

The original amount we put in 8 years ago of 10,000 dollars that was taxed dollars is that taxed again. Thanks Nick

Customer:

Can you answer this question before I accept. Thanks Nick

LEV :

If your original amount was $10,000 - that amount is distributed tax free.
So, based on your information - only 1,690.74 might be taxable.
However if your spouse is above 59 1/2 - nothing is taxable.

LEV :

Please let me know if you need any help.

Lev and 2 other Tax Specialists are ready to help you