Code

Definition

1

Early distribution, no known exception (in most cases, under age 59 ½)

2

Early distribution, exception applies (under age 59 ½)

3

Disability

4

Death – regardless of the age of the employee/taxpayer to indicate to a decedent’s beneficiary, including an estate or trust.  Also used for death benefit payments made by an employer but not made as part of a pension, profit-sharing, or retirement plan.

5

Prohibited Transaction – This generally means the account is no longer an IRA.

6

Section 1035 exchange (a tax-free exchange of life insurance, annuity, qualified long-term care insurance, or endowment contracts)

7

Normal distribution

8

Excess contributions plus earnings/excess deferrals (and/or earnings) taxable in 2013

9

Cost of current life insurance protection

A

May be eligible for 10-year tax option (see Form 4972)

B

Designated Roth account distribution

Note: If Code B is in box 7 and an amount is reported in box 10, see the instructions for Form 5329.

D

Annuity payments from nonqualified annuities that may be subject to tax under section 1411

E

Distributions under Employee Plan Compliance Resolution System (EPCRS)

F

Charitable gift annuity

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 (in most cases, under age 59 ½)

L

Loans treated as distributions

N

Recharacterized IRA contribution made for 2013 and recharacterized in 2013

P

Excess contributions plus earnings/excess deferrals (and/or earnings) taxable in 2012

Q

Qualified distribution from a Roth IRA (participant meets the 5-year holding period, and 1) has reached age 59 ½ 2)has died, or 3) is disabled)

R

Recharacterized IRA contribution made for 2012 and recharacterized in   2013.

S

Early distribution from a SIMPLE IRA in first 2 years, no known exception (under age 59 ½)

T

Roth IRA distribution, exception applies

U

Dividend distribution from ESOP under sec. 404(k)

Note: This distribution is not eligible for rollover

W

Charges or payments for purchasing qualified long-term care insurance contracts under combined arrangements.