Support CenterWhat does the checkbox mean Elect 10 averaging on Form 1099-R in SureFire Web Version?
🔍 What does the checkbox mean: Elect 10 averaging on Form 1099-R in SureFire Web Version?
This guide explains what the Elect 10 Averaging checkbox means and what happens when you select it for Form 1099-R in SureFire Web Version.
⚠️ Before You Begin
Elect 10 averaging may apply when:
- The distribution is a total, lump-sum distribution from a qualified plan (other than an IRA or tax-sheltered annuity)
- The taxpayer was born before January 2, 1936 (or the taxpayer is the beneficiary of someone born before January 2, 1936)
- The taxpayer may be eligible for the 10-year tax option
📊 Step-by-Step Guide
Step 1: Understand what “Elect 10 averaging” means
If this is a total, lump-sum distribution from a qualified plan (other than an IRA or tax-sheltered annuity) and the taxpayer was born before January 2, 1936 (or the taxpayer is the beneficiary of someone born before January 2, 1936), the taxpayer may be eligible for the 10-year tax option. If this applies, select the check box labeled Elect 10 Averaging.
Step 2: Know what happens after you select the checkbox
When you select this check box, SureFire loads Form 4972, Tax on Lump-Sum Distributions. Complete that form to figure the tax.
For more information, open the IRS instructions for Form 4972 by pressing Shift+F1 on Form 4972.
Step 3: Check the code that indicates eligibility
Code A in box 7 indicates that the taxpayer may be eligible for the 10-year tax option.
📞 Still Need Help?
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Phone: 1-800-516-9442
Tags: federal,form