Ask Terry Questions IRA Transfer to another IRA with a different company

IRA Transfer to another IRA with a different company

By Terry Savage on April 02, 2024 | Taxes & Economy

When you transfer an IRA form one company to another, I thought you should receive a 1099-R indicating the tax-free transfer of the assets. I did not receive a 1099-R but can see the transferred money in my new IRA account. Do I need to do anything on my tax return for this year indicating this transfer of assets? Thanks for answering.

Terry Says

My research says that if you’ve moved funds from one retirement account to another (like from a 401 (k) to an IRA, this will be reported on Form 1099-R. In many cases, rollovers are not taxable events. The code in Box 7 will indicate whether this rollover is taxable.

But this is above my pay grade in taxes! the IRS has a tutorial on this subject:
https://www.irs.gov/help/ita/do-i-need-to-report-the-transfer-or-rollover-of-an-ira-or-retirement-plan-on-my-tax-return

And here’s what H&R Block says about rollovers to an IRA –from a 40l(k):
https://www.hrblock.com/tax-center/income/retirement-income/reporting-401k-rollover-into-ira/

But I’m honestly not sure whether a direct custodial IRA transfer requires a 1099R. Are you using a tax expert or TurboTax? That’s where I’d ask this question.

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