How do I input 1099-R Distributions as taxable over three years under the CARES Act and prepare Form 8915-E in a 1040 return using CCH® ProSystem fx® Tax Interview Forms?

  • Article Type:
  • How To
  • Last Modified:
  • 03/24/2021

Objectives

Generate and populate Form 8915-E deferral in an Individual return.

Environment

CCH® ProSystem fx® Tax
Individual
1040
Interview View
IVF

 

Procedure

With software release 2020.03010, input has been added to the IRS 1099-R to indicate the disaster, date of distribution and the amount to assign to the disaster.
  1. Go to Interview Forms 1099-R.
  2. In Boxes 200, select option FA..
  3. In Boxes 201 - Date (Mo/Da/Year), input an applicable distribution date.
  4. In Boxes 202 - Amount Assigned, input the amount to be deferred over three years.
  5. Calculate the return.

Notes

  • If  the disaster code is any 2020 disaster code other than FA (coronavirus related) and the date of distribution is before the disaster occurred, the disaster will not be reported on Form 8915-E. 
  • If the election to not pay back the distribution over three years is made, or if a portion was repaid prior to filing the tax return, then additional input will be required:
    1. Go to Interview Form M-27 (see Interview Form 8915 folder).
    2. In box 30 - Select either Taxpayer (T) or Spouse (S)
    3. In Box 49 - Elect to not spread taxable amount over 3 years field), Election to not spread payment over three years.
    4. In Boxes 66 (other than IRA) and/or 70 (IRA). (Total amount of repayments made before filing 2020 tax return).If a portion was repaid before filing the return:
    5. Calculate the return.

Additional Information

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