Distribution Code(s)
  Definition
Shows the Distribution Code(s) that identify the distribution you received.
   
 
1 - Early distribution, no known exception (most cases, under age 59 ½)
2 - Early distribution (under age 59 ½) and the following exception applies: a Roth IRA conversion (an IRA converted to a Roth IRA); a distribution made from a qualified retirement plan or IRA because of an IRS levy under section 6331; a section 457(b) plan distribution that is not subject to the additional 10% tax; a distribution from a qualified retirement plan after separation from service where the taxpayer has reached age 55; a distribution from a governmental defined benefit plan to a public safety employee after separation from service where the taxpayer has reached age 50; a distribution that is a part of a series of substantially equal periodic payments as described in section 72(q), (t), (u) or (v);; any other distribution subject to an exception under section 72(q), (t), (u) or (v) that is not required to be reported using Code 1, 3, or 4.
3 - Disability, defined in section 72(m)(7).
4 - Death, regardless of the age of the taxpayer.
7 - Normal Distribution from a plan, including a traditional IRA, if the employee/taxpayer is at least age 59 ½, or a Roth IRA conversion or reconversion if the participant is at least age 59 ½.
8 - Excess contributions plus earnings/excess deferrals (and/or earnings) taxable in 2012.
B -

Designated Roth account distribution.

E -

Distributions under Employee Plans Compliance Resolution System (EPCRS)

G - Direct rollover of a distribution (other than a designated Roth account distribution) to a qualified plan, a section 403 b) plan, a governmental section 457(b) plan, or an IRA.
H - Direct rollover of a designated Roth account distribution to a Roth IRA.
J - Early distribution from a Roth IRA, no known exception (most cases, under 59 ½).
N - Recharacterized IRA contribution made for 2012 and recharacterized in 2012.
P - Excess contributions plus earnings/excess deferrals taxable in 2011.
Q - Qualified distribution from a Roth IRA. You are age 59 ½ or over and meet the 5-year holding period for a Roth IRA.
R - Recharacterized IRA contribution made for 2011 and recharacterized in 2012.
S - Early Distribution from a SIMPLE IRA in first 2 years, no known exception (under age 59 ½) (May be subject to an additional 25% tax).   
T - Roth IRA distribution, exception applies (you may not meet the 5-year holding period) (59 ½ or over or code 3 or 4 applies).
   
 

How to transfer information to IRS Form 1040 or Form 1040A
For codes 1 and S, in addition to IRS Form 1040 or 1040A, you may be required to file Form 5329, Additional Taxes on Qualified Plans (Including IRAs) and Other Tax Favored Accounts. For a rollover of an entire distribution, do not file Form 5329. See IRS Instructions for Form 1040 or 1040A to determine what is required for reporting a rollover distribution.  For codes 2, 3, 4, G or Q you need not file Form 5329. For codes J, N, and R you are required to file Form 8606, Nondeductible IRAs. Any applicable nontaxable fees have not been included as part of your “Gross Distribution” or your “Taxable Amount.” Certain distribution(s) transactions require using more than one Distribution Code to accurately identify the type of distribution you received. See the 1040 instructions of your tax return if more than one code is listed.