So I began working on my taxes through TurboTax last night and ran into an issue. I recieved a 1099-R for a 401K from my previous employer that was rolled over into a traditional IRA with Fidelity. When I input the 1099-R info, it increases my tax liability to where instead of getting ~$300 back, I would owe ~$400. I called Fidelity this morning to check that the account had been a direct rollover as intended, and they confirmed it had, and that it should be tax exempt.
I double checked all of the values that I input into the tax program for accuracy, so I'm not sure what went wrong. I also have a Form 5498 which, to my knowledge, proves that it was a direct rollover, and should cancel out the 1099-R.
At this point I am inclined just to leave the 1099-R out, but I realize that's not the correct way, and I of course don't want go get it trouble. Has this happened to anyone else?
Submitted January 31, 2019 at 12:51AM by roboeyes http://bit.ly/2TiVgpH
