Filling Out Form 8915-E for 2021 After Spreading COVID-19 Distribution Across 3 Years

Yes, you'll need to complete another Form 8915-E for your 2021 taxes. However, you won't be reporting the entire distribution again. Since you elected to spread the taxable portion over 3 years, you're essentially reporting 1/3 of the taxable amount each year. For your 2021 Form 8915-E, you'll need to reference your 2020 Form 8915-E to get the original distribution amount. You're not using the 1099-R again directly - that was for reporting the initial distribution in 2020. Instead, you'll complete Part II of the 2021 Form 8915-E to report the second third of your taxable distribution. The form will ask for information about your original 2020 coronavirus-related distribution, including the total amount. Then you'll calculate the portion that's taxable for 2021.

I went through this exact same situation and was pulling my hair out trying to figure it out. I finally just used taxr.ai (https://taxr.ai) to help me make sense of my previous tax forms and figure out exactly what numbers to put where on my new 8915-E. It analyzed my 2020 return, identified the coronavirus distribution details, and then guided me through completing the 2021 form correctly. The best part was it actually explained WHY certain numbers had to go in certain places rather than just telling me what to input. Helped me understand that the 1099-R is only relevant for the first year, and in subsequent years, you're referencing your previous 8915-E forms.

Just wanted to follow up - I ended up using taxr.ai after all and wow, what a relief! I uploaded my 2020 return and it immediately identified the coronavirus distribution amount from my original 8915-E. It even explained that I needed to report exactly 1/3 of the total taxable amount on my 2021 return and showed me where to put that on the new form. My return got accepted right away and I didn't have to spend hours trying to figure this out myself. Definitely going to use it again next year for the final portion.

I had the same issue but couldn't get anyone at the IRS to explain it clearly. After spending hours trying to reach someone, I found Claimyr (https://claimyr.com) which got me connected to an actual IRS agent in under 20 minutes. There's a video showing how it works here: https://youtu.be/_kiP6q8DX5c The agent walked me through exactly how to handle the Form 8915-E for my 2021 return. Basically confirmed what others have said - you need to report the second third of your distribution on your 2021 taxes. The agent also pointed out some common mistakes people make with this form that could trigger unnecessary reviews of your return.

I hate to admit when I'm wrong but I have to update my skeptical comment. I tried Claimyr out of desperation yesterday and it actually worked! Got connected to an IRS rep in about 35 minutes (way better than the hours I spent trying on my own). The agent confirmed exactly what I needed to do with my Form 8915-E for 2021. Basically, I just needed to report 1/3 of my original distribution amount from 2020. I asked specifically if this would look strange since I'm referencing an old 1099-R, and they assured me this is exactly how the system is designed to work for the 3-year spread. Definitely worth it just for the peace of mind.

I've been a tax preparer for 7 years and this is something that confuses a lot of people. Here's the simple version: Year 1 (2020): Report the full distribution on Form 8915-E and elect to spread it over 3 years. You pay tax on 1/3 of the amount. Year 2 (2021): Complete Form 8915-E again, referencing your original distribution. Pay tax on the second 1/3. Year 3 (2022): Complete Form 8915-E one last time. Pay tax on the final 1/3. You don't need a new 1099-R each year. The original 1099-R from 2020 is documentation for the entire distribution.

I'm seeing conflicting advice online about the 8915-E. Some sites say we need to file it for 2021 but others say we should use 8915-F instead. Which is correct?????