What does code 7 on 1099-R tax forms mean?


Quick Answer

Code 7 on Box 7 of the 1099-R tax form means Normal Distribution, states the TurboTax website. The normal distribution is for individuals who are older than 59-1/2, and the distribution does not have a penalty.

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Full Answer

Codes for Box 7 of the 1099-R tax form include number or a letter in the alphabet, states the Prudential website. Some applicable codes include, but are not limited to:

  • 1 - premature distributions without an exception
  • 2 - premature distributions with an exception
  • 4 - death
  • D - net investment income
  • F - charitable gift annuity
  • J - early distribution from a Roth IRA

For a complete list of codes, visit the IRS, TurboTax or Prudential websites.

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