IRS Forms & Coding
Used to report additional taxes or claim an exemption from the 10% penalty on early distributions from traditional and Roth IRAs and other qualified retirement plans
What is IRS form 5329?
allows an individual to withdraw up to $5000 per child from his/her IRA or employer-sponsored retirement plan without paying the penalty when the distribution is taken within one year following the birth of the individual's child or an adoption becoming final.
What is Qualified Birth or Adoption Distributions?
Tammy and Tarra's favorite color is the same
What is purple?
Individual Retirement arrangement is a tax-deferred account designed specifically for Retirement Savings.
What is a Traditional IRA?
Must be signed by the account holder, if a POA is listed on the account, the POA can sign, (it does not mean that the POA can instruct the client move the assets - review Account Note Pad). LTA or FTA are not able to sign.
Who can sign the withhold LOA?
A form filed for any person to whom a distribution, conversion, or recharacterization is made from a Traditional, Roth, SEP, or SIMPLE IRA. Is also issued from other retirement accounts/plans (such as 401(k), 403(b), pension, profit sharing, etc).
What is IRS form 1099-R?
10% penalty exception for individual who has been certified by a physician as having an illness or physical condition which can reasonably be expected to result in death in 24 months or less
What is terminal illness?
Monday, November 11th
What day that we still have to work - Veterans Day 2024
Client has after tax and pre-tax funds in their account. This will affect any distributions from the Client's account.
*Daily Double*
What is Non-taxable Basis (Pro-rata Formula)?
Through account access; in the transaction, or Scan and esign
How to update Tax Withholding for a client?
Form is used to report the following:
What is IRS form 8606?
Growth within the account is tax-deferred
What is a Traditional IRA?
Sunday, November 3rd
What day Daylight savings ends?
All Roth IRA's owned by the client: Client has a Roth at Jones, a Roth at the bank and a Roth at another Jones office.
What to consider when doing a Roth distribution?
Edward Jones is not eligible to withhold taxes on a distribution in-kind, tax withholding form needs to be on file.
What is Special Services?
Roth IRA distribution, exception applies. Withdrawal is taken by clients age 59 1/2 or older or when an exception to the early withdrawal penalty applies.
What is IRS Reason Code <T>?
A potential 25% penalty on a distribution before age 59.5 if taken before 2 years from the date of the first contribution if no known penalty exception applies.
What is a Simple IRA distribution?
Was established by the Taxpayer Relief Act of 1997
*Daily Double*
When was Roth IRA established?
What is Roth Distribution ordering rules?
AL, AK, AZ, CO, DE, FL, HI,ID, IL, KY, LA, MS, NV, NH, ND, OH, PA, RI, SC, SD, TN, TX, UT, VA, WA, WV, & WY
What states are Jones not able to with hold state tax?
Early distribution from a Roth IRA. Withdrawal is taken by a client under age 59 1/2. The 10% early withdrawal penalty applies. May be used in combination with Code 8 or P.
What is IRS Reason Code < J >?
"You are considered disabled if you can furnish proof you cannot do any substantial gainful activity because of your physical or mental condition. A physician must determine your condition can be expected to result in death or to be of long continued and indefinite duration."
What is Disability?
18th Broker of Edward Jones
Who is Ted Jones?
Satisfies the 5 year holding period and meets one of the following four penalty exceptions.
Attain age 59; Death; Disability; Qualified first-time home purchase (lifetime limit of $10,000)
What is a Qualified Roth Distribution?
Job Aids - Guidelines for Tax withholding; Form messages; Holiday Processing Schedules; Texarkana Approval Procedures
What is Disbursements Service team home page?