A qualified domestic relations order (QDRO) is a judgment, decree, or order for a retirement plan to pay child support, alimony or marital property rights to a spouse, former spouse, child or other dependent of a participant.
A recipient of QDRO benefits from a retirement plan must report the payments on their tax return as if he or she were a plan participant.
An individual may be eligible to roll over all or a portion of the distribution received from a qualified retirement plan that he or she received under a QDRO. If a person receiving QDRO payments is either the employee's spouse or former spouse (not as a nonspousal beneficiary), then he or she can roll it over, just as if he or she were the employee receiving a plan distribution and choosing to roll it over. For more information regarding how to report your rollover, please see our KB article on the subject.
How do I report my QDRO benefits?
Any payment you receive as a result of a qualified domestic relations order should be reported to you on a Form 1099-R. When you file your tax return you are required to report the 1099-R you received as a result of your QDRO. To report your 1099-R using our software, please follow the steps listed below.
- Federal
- Income
- 1099-R, RRB, SSA
- Add or Edit a 1099-R
- Report the information from your 1099-R here, then press continue to save the information to your return
What if I did not receive a 1099-R?
If you received payments as a result of a QDRO but did not receive a 1099-R reporting the income, you'll need to use a substitute 1099-R within our software. To do so, please follow the steps below.
- Federal
- Income
- 1099-R, RRB, SSA
- Add or Edit a 1099-R
- Check the box at the top of the page to indicate it is a substitute 1099-R
Additional Information
Retirement topics — QDRO: Qualified domestic relations order