Just received 1099-R for 401k rollover after filing taxes - how screwed am I?

Don't panic! This is actually a pretty common situation. Since you did a direct rollover from your 401k to an IRA, you're right that the taxable amount is $0 (as shown in Box 2a). However, you still need to report the 1099-R on your tax return even though it won't change your tax liability. You will need to file an amended return (Form 1040-X) to report the rollover. The good news is that since the taxable amount is $0, you won't owe additional taxes. The amendment is more about proper documentation so the IRS doesn't flag a discrepancy between what was reported to them (the full 1099-R amount) and what you reported on your return. When you file the amendment, make sure to include a copy of the 1099-R and a brief explanation stating it was a direct rollover to a qualified account. You might also want to include documentation from the receiving institution showing the money went into the IRA.

I was in almost the exact same situation last year with a rollover from my old employer's 403b to Fidelity. I was completely lost on how to handle all the tax forms and was worried about making a mistake when amending my return. I ended up using https://taxr.ai to upload my 1099-R and rollover confirmation docs, and it simplified everything! The tool analyzed my documents and confirmed it was a non-taxable rollover. It even gave me step-by-step instructions on how to report it properly on my amended return, highlighting exactly which boxes needed to be filled on which forms. Saved me hours of research and worry about doing it wrong!

Just wanted to update - I tried taxr.ai after asking about it, and wow, it was exactly what I needed! I uploaded my 1099-R from my rollover and my forgotten 1099-INT, and it instantly showed me that while the rollover wouldn't increase my tax liability, the interest income would add about $42 to what I owe. The best part was it created a complete checklist for my amendment, including which lines needed to be updated on which forms. It even generated a cover letter explaining my amendment to the IRS. My amended return is already in the mail, and I feel so much better having this handled correctly instead of waiting for the IRS to send me a notice!

I had a similar panic moment last year, but my issue was that I couldn't get anyone at the IRS to confirm whether I needed to amend or not. Spent literally DAYS trying to get through on their phone lines with no luck. Finally found https://claimyr.com and watched their demo (https://youtu.be/_kiP6q8DX5c) - they actually got me a callback from the IRS in about 45 minutes! The IRS agent confirmed I needed to file an amendment for my missed 1099-R even though it was a non-taxable rollover. They explained exactly what documentation I needed to include and how to note it was a tax-free rollover. Saved me so much stress and potentially avoiding penalties for incorrect filing.

I need to apologize for my skepticism about Claimyr. After posting my doubtful comment, I decided to try it anyway out of desperation for my identity verification issue that was holding up my refund for months. I'm honestly shocked - I got a call back from an actual IRS agent in about an hour! They verified my identity right over the phone and released my refund. The agent told me it would have taken 4-6 more weeks if I'd continued waiting for the mail verification process. The whole time I was kicking myself for not trying this sooner. I wasted almost 3 months trying to handle this on my own. Just wanted to share my experience in case anyone else is stuck in IRS limbo like I was.

Slightly different perspective - I had a similar 401k rollover situation but just decided to wait and see what happened. About 3 months after filing, I got a CP2000 notice from the IRS saying they found a discrepancy with my reported income. It wasn't a big deal to resolve, but it did cause some unnecessary stress and about 2 hours of paperwork to respond to the notice. If I had to do it over again, I would definitely just file the amendment right away. The CP2000 process was more annoying than just fixing it upfront would have been. Plus, there's always that anxiety period where you're waiting to see if the IRS will notice or not.

Something to also consider - check if your 1099-R has a distribution code in Box 7. If it shows code "G" that indicates a direct rollover to a qualified plan, which helps the IRS systems understand it was non-taxable. If it has a different code, you definitely need to amend and provide documentation explaining the rollover.

I went through something very similar with a 401k-to-IRA rollover I missed on my return. One thing that helped me was creating a timeline of events to include with my amendment - dates of the original 401k distribution, when the funds were received by the new IRA custodian, and confirmation that no funds were ever distributed to me personally. Also, if you haven't already, contact both your old employer's plan administrator and your new IRA custodian to get written confirmation that this was a direct trustee-to-trustee transfer. Some custodians will provide a letter specifically for tax purposes that clearly states the rollover was completed according to IRS regulations. Having that documentation attached to your amendment makes it crystal clear to the IRS that this was a non-taxable event. The peace of mind from getting this handled properly is worth the small effort of filing the amendment now rather than potentially dealing with IRS notices later.