How long to wait for a 1099-R

[Deleted]

If I've gotten the number of the form wrong, I apologize. It's the one you get when you have retirement income.

I got married last year. My husband cashed in his profit sharing account. No comment on that . . . it was before we got married so nothing to do with me except taxes. It had a value of $59.000. The company sent him a letter that said they were withholding based on the $59,000. But the form (1099-R?) said only 50,000. They also sent a letter that they would pay him payments for the additional amounts plus interest. I had a hard time explaining to him that it didn't matter what amount they withheld on; what mattered was what amount they reported. I "think" he understands that.

We got a form for the interest. But we haven't gotten a form for what was probably around $2500. I don't know the exact amount because I'm not looking at the letter that accompanied it

I am saying we can't file our taxes without the form; my husband hesitates to contact them, saying it will come "eventually."

How long is eventually? I don't want to be a nagging wife, but how long should we wait for this form before requesting it?

Thank you!

[chiver78]

I don't know what form that is, or whether it's right, but I can say that I just got a tax form in the mail today. hopefully yours comes soon!

[nancy65]

I don't follow what you're saying about the amounts, but if you don't have the 1099-R by now, it is high time to ask for it.

Forms that are just coming out now are generally from stock brokerages.

[taxref]

I would second Nancy65's answer. 1099-Rs should have been sent out no later than 1-31-11.

[TheOtherMe]

I would third Nancy's recommendation. 1099-Rs were to be post marked no later than January 31.

[Deleted]

I wish the situation made sense, but even I have trouble with it when I look at the paperwork.

Before we got married last year, my DH retired. For whatever reason, he cashed in his profit sharing account, which was entirely in company stock. (I know, I know . . . ). The company was having cash flow problems so they computed that they owed him about $59,000. They gave him $50,000 then (and reported the $50,000 distribution on a 1099-R).

They promised to pay him the additional money in three or four equal payments (I am not looking at the paperwork right now). They sent him the first installment last April. In late January, we received the tax form for the interest on it. The interest is being reported by Wells Fargo, I think.

We did not receive any form for the $2500 portion of the payment, which is principal. On the original paperwork that explained what they owed him and how it would be paid, they noted they owed him the $59,000 and had withheld federal taxes on that amount. However, the 1099-R stated only $50,000.

I am slowly going nuts over this, mostly because my DH doesn't want to contact them for whatever reason until the very last minute. So the purpose of this thread was to see if ALL 1099-Rs had to be sent out already. I knew there was some sort of delay last year or something?

Thanks!

[973beachbum]

Susanna I have some questions that I think would help us help you.

1 was this profit sharing in a pretax retirement account?
2 Was it a company benefit or did he contribute?
3 was it an early distribution based on age or did it go into another qualified plan?

If it was pretax money your DH used to buy the stock, then is the form you are waiting for the one that says you had money that wasn't taxed originally at purchase and now must count as taxable income at distribution?

For the record we are still waiting on a W-2.

[973beachbum]

Most employers do not withhold any taxes on purchases in a qualified Section 423 plan. However, the ordinary income recognized upon a disqualifying disposition is taxable compensation that your employer should report on the form W-2.

On a purchase in a non-qualified employee stock purchase plan, your employer will be required to withhold on the taxable portion of the purchase. Top

Not sure if this might help explain what I am asking.

[Deleted]

We still haven't gotten anything as of 2/27. I have been back over last year's paperwork. It was a nonqualified distribution.

He got a W2 (I got the form wrong) last year for $50,000. They owed him $59,000. It was profit sharing, which is usually an untaxed account (at least where my ex used to work; my divorce settlement came in untaxed $$$). They sent him a letter saying they were withholding based on the $59,000. I have managed to explain to him that it doesn't matter what the withholding was based on; it matters what the W2 says.

Part of it ($27,000) was buying the stock at a discount with him having salary deductions. I asked if it was possible that he paid $9,000. He said that it was more like $3000.

He promised to call his former company in March. He wanted to give them "time." I was in favor of filing an extension in April (we won't owe) and see if a piece of paper EVER showed up. I don't know if he owes on this or not. His, um, records, aren't the best.

Thanks for letting me vent . . . and for any suggestions.