How to attach Form 1099-R to 1040? When you prepare a federal income tax return, the income you earned must be reported on it and the tax forms that report the income earned must be attached to 1040. This is the most basics of filing a federal income tax return.
Not all income earned on Form 1099-R is going to be reported on your federal income tax return though. This comes down to what kind of retirement account you have. If you had Roth 401(k) contributions, you’ve already paid taxes on the amount contributed, thus, you are exempt from paying taxes on that income. So it doesn’t add up to your gross income.
Content of Form 1099-R
In Form 1099-R, Retirement Income, the gross distribution is the total amount you withdrawn from your retirement account. The taxable amount refers to the taxable portion of your withdrawals. Oftentimes, this is the total amount of your gross distribution if you have a traditional 401(k) or IRA.
The amount shown on this box must be reported on your federal income tax return as you will need to figure out gross income. You can then gradually subtract the adjustments you can take on Schedule 1 to figure out adjusted gross income and take off the deductions to get to your taxable income. This is why you will need the gross distribution as well as the taxable portion of the total distributions on Form 1099-R.
As for how you’re going to attach Form 1099-R and other information returns such as W-2 or other Forms 1099, staple it on the top right corner of 1040. If you’re e-filing, you don’t need to do anything as far as the tax forms concerned as it will be attached by the e-file provider. Attaching Form 1099-R isn’t required when e-filing.
For more related information about retirement taxes, read more from here.