Posted By: WWIT?
Need help with an IRA 1099R correction! - 09/27/21 05:24 PM
Let me start by saying that I know very little about IRAs-
In October 2018, we had a customer come in to request a transfer to an IRA at another bank. The person that handled the transaction back then, entered it as a normal distribution instead of a transfer. The customer did not receive any of the funds. The check was made payable to the other bank as IRA Custodian. Of course our customer has received notice from the IRS regarding taxes due for this distribution.
My question is-do I just need to send in the 1099R and mark it as void? From what I am reading, it doesn't look like they should have received anything at all regarding the transfer from one custodian to another custodian.
Thanks for your help!
In October 2018, we had a customer come in to request a transfer to an IRA at another bank. The person that handled the transaction back then, entered it as a normal distribution instead of a transfer. The customer did not receive any of the funds. The check was made payable to the other bank as IRA Custodian. Of course our customer has received notice from the IRS regarding taxes due for this distribution.
My question is-do I just need to send in the 1099R and mark it as void? From what I am reading, it doesn't look like they should have received anything at all regarding the transfer from one custodian to another custodian.
Thanks for your help!