The form a pension, annuity, insurance company, IRA custodian or retirement plan sends for any distribution of $10 or more in a year: the amount, the taxable part, the tax withheld and a code saying what kind of distribution it was (2026 Instructions for Forms 1099-R and 5498).

What does distribution code 7 mean?

A normal distribution: from an IRA or plan at 59½ or older, including a required minimum distribution. It is taxable and has no 10% additional tax. In example A, a $24,000 code-7 IRA distribution adds $3,997 of federal tax.

What does code 1 mean on a 1099-R?

An early distribution with no known exception, usually before 59½. You owe the 10% additional tax on Form 5329 unless an exception applies (IRS list of exceptions). In example B, $10,000 at age 50 adds $2,553, of which $1,000 is the additional tax.

Where does a 1099-R go on Form 1040?

An IRA distribution (box 7b checked) on lines 4a and 4b; a pension, annuity or plan distribution on lines 5a and 5b; box 4 withholding on line 25b, with the other 1099 withholding (Form 1040 instructions).

Is the tax withheld in box 4 enough?

Often not. In example A the 10% withheld, $2,400, falls $1,597 short of the $3,997 the distribution adds, because the distribution also makes Social Security taxable. Change the rate for next year on Form W-4R; see the retirement withholding calculator.

Do I need a 1099-R for a direct rollover?

Yes, you still get one (code G or H) and still report it: box 1 on line 4a or 5a and $0 taxable on 4b or 5b (Form 1040 instructions).

Form 1099-R Explained: What Your Boxes and Codes Mean, and the Tax You Owe

Enter your 1099-R and your other 2026 income. The tax engine works out which Form 1040 lines it goes on, the federal and state tax the distribution adds (including the Social Security it makes taxable and the 10% additional tax for code 1) and whether the tax withheld in box 4 covers it.

Planning a withdrawal rather than reporting one? The 401(k) withdrawal calculator. Your Social Security statement: SSA-1099 explained.

What is Form 1099-R, and how much tax do I owe on it?

Form 1099-R reports money paid to you in 2026 from a pension, annuity, IRA, 401(k), 403(b) or other retirement plan. Box 1 is the gross distribution, box 2a the taxable amount, box 4 the federal income tax withheld, box 7a the distribution code that says what kind of payment it was, and box 7b is checked when it came from a traditional IRA, SEP or SIMPLE IRA (2026 Form 1099-R). An IRA distribution goes on Form 1040 lines 4a and 4b, a pension, annuity or plan distribution on lines 5a and 5b, and box 4 on line 25b (Form 1040 instructions). The tax you owe is not box 4: the distribution is taxed at your own rates, and it can make more of your Social Security taxable. Example: a single 73-year-old in North Carolina with $32,000 of Social Security, a $12,000 pension and $2,000 of interest takes a $24,000 IRA distribution (code 7) and has the default 10%, $2,400, withheld. The distribution adds $3,997 of federal tax, 16.7% of it, because it also makes $19,000 of Social Security taxable; box 4 falls $1,597 short, and North Carolina adds $958.

Form 1099-R on the 2026 return, and two worked examples computed by the tax engine.
Key number	2026
Box 1 (gross) / box 2a (taxable), IRA → Form 1040 lines (Form 1040 instructions)	4a / 4b
Box 1 / box 2a, pension, annuity or plan → lines (Form 1040 instructions)	5a / 5b
Box 4 (federal tax withheld) → line (Form 1040 instructions)	25b
Example A (IRA, code 7, $24,000): federal tax it adds (Tax Table)	$3,997
Example A: Social Security it makes taxable (Pub. 915)	$19,000
Example A: not covered by $2,400 in box 4	$1,597
Example A: North Carolina tax it adds (North Carolina rules)	$958
Example B (IRA, code 1, $10,000, age 50, $60,000 wages): federal tax it adds	$2,553
Example B: of which the 10% additional tax (IRC §72(t))	$1,000
Example B: not covered by $1,000 in box 4	$1,553

A 1099-R is one line of the return; the whole return decides your refund or amount owed: 2026 tax return calculator (free: your federal and state refund or amount owed) →

An estimate from QuantCalc’s open tax engine (federal 2.3.1, state 1.14.2) for the 2026 tax year. Not tax advice: your return depends on facts this page does not ask about, so check a move with your tax preparer or custodian before acting. How the engine computes each line, with its official source: federal, state.

Enter your own 1099-R below.

The tax on your 1099-R

Your Form 1099-R

Box 1: gross distribution ($) Box 2a: taxable amount ($)Blank? For a traditional IRA with no after-tax money, use box 1 Box 4: federal tax withheld ($) Box 7a: distribution code Box 7b checked (IRA/SEP/SIMPLE) Part paid directly to charity (QCD) ($)Only for an IRA distribution at 70½ or older

You

Filing status Your age on Dec 31, 2026 State

Your other 2026 income

Social Security ($)Box 5 of your SSA-1099s Other pension or annuity, taxable ($) Other IRA / 401(k) withdrawals, taxable ($) Wages ($) Taxable interest ($) Dividends, total ($) Net long-term capital gains ($)

The tax the distribution adds is the engine’s: your 2026 return with it minus the same return without it, federal and state, so the Social Security it makes taxable and the deductions it phases out are counted. After-tax money in an IRA (Form 8606) and the taxable part of a Roth distribution are not figured here: enter box 2a as the payer reports it.

Example — enter your numbers

See this 1099-R on your whole 2026 return, every line and your refund or amount owed: 2026 Return Preview: every Form 1040 line, your state and your refund or amount owed →

Form 1099-R distribution codes (box 7a)

Box 7a carries one or two codes. The common ones (2026 Form 1099-R, instructions for recipient):

Form 1099-R box 7a distribution codes (2026 form).
Code	Meaning	For your tax
1	Early distribution, no known exception (in most cases under 59½)	Taxable, plus the 10% additional tax unless you have an exception (Form 5329)
2	Early distribution, exception applies (under 59½)	Taxable; no 10% additional tax
3	Disability	Taxable; no 10% additional tax
4	Death (paid to a beneficiary)	Taxable; no 10% additional tax
7	Normal distribution	Taxable (the usual code at 59½ or older, including RMDs)
G	Direct rollover to a qualified plan, 403(b), governmental 457(b) or IRA	Not taxable; report box 1 with $0 taxable
H	Direct rollover of a designated Roth account to a Roth IRA	Not taxable
J	Early distribution from a Roth IRA, no known exception	May be partly taxable; figured on Form 8606
Q	Qualified distribution from a Roth IRA	Not taxable
T	Roth IRA distribution, exception applies	May be partly taxable; figured on Form 8606
Y	Qualified charitable distribution (QCD) claimed under section 408(d)(8)	The QCD part is not taxable

The full list (codes 5, 6, 8, 9, A–F, K, L, M, N, P, R, S, U and W cover prohibited transactions, exchanges of insurance contracts, excess contributions, loans, recharacterizations and other cases) is on the back of the form. A rollover you made yourself within 60 days shows the code of the original payment; you report box 1 on line 4a or 5a, $0 (or the part not rolled over) on 4b or 5b, and check the rollover box on line 4c or 5c. A qualified charitable distribution goes on line 4a in full, with only the part that was not a QCD on line 4b (Form 1040 instructions).

Withholding: an IRA withdrawal you take yourself is a nonperiodic payment with 10% withheld unless you chose another rate on Form W-4R; a plan distribution you could have rolled over has 20% withheld (Form W-4R). Neither is the tax you owe, as the examples show.

Common questions

What is a 1099-R?: The form a pension, annuity, insurance company, IRA custodian or retirement plan sends for any distribution of $10 or more in a year: the amount, the taxable part, the tax withheld and a code saying what kind of distribution it was (2026 Instructions for Forms 1099-R and 5498).
What does distribution code 7 mean?: A normal distribution: from an IRA or plan at 59½ or older, including a required minimum distribution. It is taxable and has no 10% additional tax. In example A, a $24,000 code-7 IRA distribution adds $3,997 of federal tax.
What does code 1 mean on a 1099-R?: An early distribution with no known exception, usually before 59½. You owe the 10% additional tax on Form 5329 unless an exception applies (IRS list of exceptions). In example B, $10,000 at age 50 adds $2,553, of which $1,000 is the additional tax.
Where does a 1099-R go on Form 1040?: An IRA distribution (box 7b checked) on lines 4a and 4b; a pension, annuity or plan distribution on lines 5a and 5b; box 4 withholding on line 25b, with the other 1099 withholding (Form 1040 instructions).
Is the tax withheld in box 4 enough?: Often not. In example A the 10% withheld, $2,400, falls $1,597 short of the $3,997 the distribution adds, because the distribution also makes Social Security taxable. Change the rate for next year on Form W-4R; see the retirement withholding calculator.
Do I need a 1099-R for a direct rollover?: Yes, you still get one (code G or H) and still report it: box 1 on line 4a or 5a and $0 taxable on 4b or 5b (Form 1040 instructions).