In 2018, I transferred a traditional IRA account from one custodian to a new custodian. Funds were moved between the two custodians directly, and no funds were disbursed to me. My tax accountant is telling me I need a 1099-R (code G) in order to file my taxes. Representatives of the original custodian are telling me no 1099-R is issued when the transfer is direct to another custodian. Which is the correct answer?
A 1099-R should be issued with the “G” rollover code. If none was issued, I would still indicate the amount of the rollover on your return with “0” being taxable.
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Answered by: Paul K. Rudoy, CPA, PFS, is managing partner of H2R CPA in Pittsburgh.