Tax Law (Questions About Taxes)/Pension

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Question
QUESTION: Hi John,  About mid year 2012 I started to receive a monthly pension from my ex's work pension (as per divorce).
Where on the 1040 tax form would I report this?

Many Thanks!
Terry

ANSWER: Terry,

Thanks for your question.

Line 16a and b "Pensions and annuities."  "a" is for the total amount, "b" for the taxable amount.

Hope this helps.

John Stancil, CPA

---------- FOLLOW-UP ----------

QUESTION: Ok thanks for the reply! So what would be the "b" taxable amount"?  There are already taxes taken out per monthly distribution. Could you please explain further?

Thank you
Terry

Answer
The 1099-R should indicate the taxable amount in box @A.  If not amount is entered, it is likely fully taxable.  If box is checked "taxable amount not determined," you should check with the pension administrator or your ex.

Taxes that are withheld monthly have noting to do with this.  Those are like withholding on your W-2 and must be shown on line 62 of the 1040.

John Stancil, CPA

Tax Law (Questions About Taxes)

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John Stancil, CPA

Expertise

I can answer questions on personal income taxes, partnerships, and some corporate income taxes. I can deal with some state tax questions. Limited gift and estate tax questions. I am also familiar with ministerial and church tax reporting issues. I am Professor Emeritus at Florida Southern College. Sales taxes and property taxes are state and local issues so I am not likely be be able to give you an in depth answer on those types of taxes. I have maintained a CPA practice, specializing in tax, for over 35 years. I am a member of the National Association of Tax Professionals, The Florida Insititute of CPA's, The NCPE Fellowship. In addition I am a Certified Mentor for SCORE. Visit my website at www.mybaldcpa.com. I also offer seminars and consultations to churches and clergy on their tax issues at www.churchtaxsolutions.com Also visit my blog, www.thetaxdocspot.com. I am listed on Tax Connections at https://www.taxconnections.com/profile/John-Stancil/12258973 Prepare and file your own taxes at www.1040stancilcpa.com

Experience

I hold a doctorate in Accounting, and am a CPA. My certifications of CIA, CFM, and CMA are inactive. I passed all certification examinations on the first attempt, and received honorable mention for my scores on the CIA exam. I have operated a CPA firm for over 37 years and have taught accounting and tax at the college level for over 35 years.

Organizations
FICPA, NATP, NCPE Fellowship, Lakeland Business Leaders

Publications
The CPA Journal, Florida CPA Today, Green Consumer, Green Business, Global Sustainability as a Business Imperative, Palmetto Review, NATP TaxPro Quarterly, Mustang Journal of Finance and Accounting.

Education/Credentials
DBA University of Memphis MBA University of Georgia BS in Accounting Mars Hill University

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