IRA Mistake Easy to Fix

A reader had the following question: ”George, I intended to rollover an IRA in the amount of $22,000. I contacted my broker and they sent me check for that amount. I then contacted another broker and purchased an IRA for the same dollar amount within the 60-day window. Now when my 1099-R from the first broker arrived they had indicated that it was a normal distribution. Meaning that it was taxable! “My question is what form/s do I need to correct this dumb mistake I made by not thinking ahead and doing a rollover instead of a custodial transfer. Thanks in advance for your time and trouble.” With a little research on the IRS web site, I found an answer for him: Reporting rollovers from IRAs. Report any rollover from one traditional IRA to the same or another traditional IRA on Form 1040, lines 15a and 15b; Form 1040A, lines 11a and 11b; or Form 1040NR, lines 16a and 16b. Enter the total amount of the distribution on Form 1040, line 15a; Form 1040A, line 11a; or Form 1040NR, line 16a. If the total amount on Form 1040, line 15a; Form 1040A, line 11a; or Form 1040NR, line 16a, was rolled over, enter zero on Form 1040, line 15b; Form 1040A, line 11b; or Form 1040NR, line 16b. If the total distribution was not rolled over, enter the taxable portion of the part that was not rolled over on Form 1040, line 15b; Form 1040A, line 11b; or Form 1040NR, line 16b. Put “Rollover” next to line 15b, Form 1040; line 11b, Form 1040A; or line 16b, Form 1040NR. See the forms' instructions. So if you ever have questions on IRAs, IRS publication 590 is a terrific resource to check with first. Best wishes, George