1099-R Distribution codes
The following distribution codes and combinations may be entered on Form 1099-R. For more information about the 1099-R distribution codes, please refer to the IRS Instructions for Form 1099-R.
| Distribution Code | Description | Valid Combinations |
|---|---|---|
| 1 | Early distribution, no known exception (in most cases, under age 59 ½) | Code 1 can be combined with the following codes: 8, B, D, K, L, M, or P |
| 2 | Early distribution, exception applies (under age 59 ½) | Code 2 can be combined with the following codes: 8, B, D, K, L, M, or P |
| 3 | Disability | Code 3 can be combined with the following code: D |
| 4 | Death | Code 4 can be combined with the following codes: 8, A, B, D, G, H, K, L, M, or P |
| 5 | Prohibited transaction | None |
| 6 | Section 1035 exchange (a tax-free exchange of life insurance, annuity, qualified long-term care insurance, or endowment contracts) | Code 6 can be combined with the following code: W |
| 7 | Normal distribution | Code 7 can be combined with the following codes: A, B, D, K, L, or M |
| 8 | Excess contributions plus earnings/ excess deferrals (and/or earnings) taxable in the current tax year | Code 8 can be combined with the following codes: 1, 2, 4, B, J or K |
| 9 | Cost of current life insurance protection (premiums paid by a trustee or custodian for current insurance protection) | None |
| A | May be eligible for 10-year tax option (Note: Distribution code A must be used in combination with another code.) | Code A can be combined with the following codes: 4 or 7 |
| B | Designated Roth account distribution | Code B can be combined with the following codes: 1, 2, 4, 7, 8, G, L, M, P, or U |
| C | Reportable death benefits under section 6050Y | Code C can be combined with the following code: D |
| D | Annuity payments from non-qualified annuities and distributions from life insurance contracts that may be subject to tax under section 1411 (Note: Distribution code D must be used in combination with another code.) | Code D can be combined with the following codes: 1, 2, 3, 4, 7, or C |
| E | Distributions under Employee Plans Compliance Resolution System (EPCRS) | None |
| F | Charitable gift annuity | None |
| G | Direct rollover and rollover contribution | Code G can be combined with the following codes: 4, B, or K |
| H | Direct rollover of distribution from a designated Roth account to a Roth IRA | Code H can be combined with the following code: 4 |
| J | Early distribution from a Roth IRA | Code J can be combined with the following codes: 8 or P |
| K | Distribution of IRA assets not having a readily available FMV (Note: Distribution code K must be used in combination with another code.) | Code K can be combined with the following codes: 1, 2, 4, 7, 8, or G |
| L | Loans treated as deemed distributions under section 72(p) | Code L can be used with the following codes: 1, 2, 4, 7, or B |
| M | Qualified plan loan offset | Code M can be combined with the following codes: 1, 2, 4, 7, or B |
| N | Recharacterized IRA contribution made for the current tax year | None |
| P | Excess contributions plus earnings/excess deferrals taxable in the preceding tax year | Code P can be used with the following codes: 1, 2, 4, B, or J |
| Q | Qualified distributions from a Roth IRA. (Distribution from a Roth IRA when the 5-year holding period has been met, and the recipient has reached 59 ½, has died, or is disabled.) | None |
| R | Recharacterized IRA contribution made for the preceding tax year | None |
| S | Early distribution from a SIMPLE IRS in the first 2 years, no known exception | None |
| T | Roth IRS distribution, exception applies because participant has reached 59 ½, has died, or is disabled, but it is unknown if the 5-year period has been met. | None |
| U | Distribution from ESOP under Section 404(k) | Code U can be used with the following code: B |
| W | Charges or payments for purchasing qualified long-term care insurance contracts under combined arrangements | Code W can be used with the following code: 6 |