Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Income — Retirement Income Workout

Out of Scope

Out of Scope Situations for VITA/TCE

The following are out of scope for this lesson. While this list may not be all inclusive, it is provided for your awareness only.

  • Retirement income from SIMPLE IRAs and SEP IRAs
  • Form 8606 required
  • Nondeductible contributions made to a traditional IRA
  • Taxpayers subject to additional tax due to excess IRA contributions or early distributions
  • Roth IRA distributions that are taxable or partially taxable
  • IRA rollovers that do not meet the tax free requirements
  • Part of a distribution is a return of after-tax contributions (may require Form 8606)
  • General Rule used to figure the taxable portion of pensions and/or annuities for past years
  • Form 1099-R, box 7 distribution code A (lump-sum distribution qualifying for special tax treatments)