How to Report Earnings From a 1099-R on Your Individual Tax Return

by Jackie Lohrey ; Updated September 11, 2015
Withdrawals from your IRA are reported on Form 1099-R.

Form 1099-R is used by the Internal Revenue Service to track your distributions from retirement accounts. The IRS considers two types of distributions as taxable income that you must include on your annual tax return -- actual distributions and proceeds from certain loans. Actual distributions include those from profit-sharing plans, annuities, retirement plans, pensions and insurance contracts. Proceeds from home equity loans, charitable gift annuities, disability payments from an insurance policy and survivor income benefits are also treated as distributions. Income reported on a 1099-R form must be included on your Form 1040 tax return.

Report distributions that you receive from individual retirement accounts (IRAs). Enter the total amount of IRA distributions received during the year on line 15a of Form 1040. Record the total taxable amount of the IRA distributions on line 15b. By definition, the IRS considers distributions from traditional, Roth, simplified employee pensions (SEP) and saving incentive match plans (SIMPLE) IRAs as taxable income. You must include all distributions reported on 1099-R forms to determine your adjusted gross income for the year.

Report distributions from pensions and annuities. Record the total amount of pensions and annuities you received during the current year on line 16a of Form 1040. Record the total taxable amount of the pensions and annuities on line 16b. In addition, be aware that the IRS regards all amounts from military retirement pay and any disability payments as taxable income.

Report federal income tax withheld from all distributions on line 62 of Form 1040.

About the Author

Based in Green Bay, Wisc., Jackie Lohrey has been writing professionally since 2009. In addition to writing web content and training manuals for small business clients and nonprofit organizations, including ERA Realtors and the Bay Area Humane Society, Lohrey also works as a finance data analyst for a global business outsourcing company.

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