Can my brother use the Tax form EZ for his federal taxes even though he has some retirement income?
He was going to add the retirement from his 1099R to his wages and just show the total on the line that says "Wages".
He can't use 1040EZ, but he can use 1040A, the next simplest one. It is strongly advised to NOT add the 1099-R amount to W-2 amounts, a letter from the IRS will most likely ensue.
-Mark Bole
BUT, depending on circumstances, it may be added as qualifying wages.
A disability pension is generally paid to a taxpayer who retires because of a disability before the minimum retirement age (set by the employer). The disability pension is treated as wages until the taxpayer reaches minimum retirement age. From then on the disability pension is treated as regular pension income.
HAPPY HOLIDAYS!!!-:)
Jack, I agree with your quote, but pre-retirement disability pensions are usually reported as wages (i.e. W-2, box 1) not 1099R.
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When the State of Ohio is the employer, I can assure you their disability pensions are reported on a 1099.
No they are normally reported on a 1099R with distribution box coded a "3". Sometimes the code never gets changed after they reach normal retirement age. I've seen the code "3" show well past nomal retirement age.
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