What is reported on Form 1099-R?

Form 1099-R is specifically used to report distributions from retirement accounts. This includes money distributed to individuals from sources such as pensions, annuities, profit-sharing plans, IRAs, and other retirement plans. The form provides important information for taxpayers and the IRS regarding the amounts withdrawn and any tax withholding associated with those distributions.

For taxpayers, understanding the information on Form 1099-R is crucial because it affects their taxable income and tax calculations for the year. The distributions reported on this form may be subject to income tax, and knowing the amount helps individuals ensure they are accurately reporting and paying taxes on their retirement withdrawals.

The other options reflect different types of income that would be reported on various forms. For example, rental income is typically reported on Schedule E, scholarship income may be reported on a different IRS form depending on its nature, and interest income is generally documented on Form 1099-INT. However, none of these relate to retirement account distributions, which is the exclusive purpose of Form 1099-R.