1099-R Distribution Codes: Box 7a (Formerly Box 7) Chart
Box 7a of the 2026 Form 1099-R (box 7 on earlier revisions) holds the distribution code that tells the IRS what kind of distribution it was. The IRS 2026 Instructions for Forms 1099-R and 5498 list 30 distribution codes in Table 1, and the chart below shows each code with the codes the IRS says it can be used with.
Maintained by Archie Chang · Sources checked against IRS text on November 2, 2026 · Methodology & sources
The distribution code chart
This is Table 1 from the IRS instructions, row by row: the code, the IRS’s name for it, the IRS explanation, and the codes the IRS says it can be used with. The table has 30 rows, codes 1 to 9 and the letters A to H, J to N, P to U, W and Y. The two asterisk notes in the last column are quoted under the chart.
Showing 30 of 30 codes.
| Code | IRS meaning | IRS explanation | Used with code (if applicable)* |
|---|---|---|---|
| 1 | Early distribution, no known exception. | Use code 1 only if the participant has not reached age 59½, and you do not know if any of the exceptions under code 2, 3, or 4 apply. However, use code 1 even if the distribution is made for medical expenses, health insurance premiums, qualified higher education expenses, a first-time home purchase, a qualified reservist distribution, a qualified birth or adoption distribution, an emergency personal expense distribution, an eligible distribution to a domestic abuse victim, a terminally ill individual distribution, a qualified disaster recovery distribution, or a qualified long-term care distribution under section 72(t)(2)(B), (D), (E), (F), (G), (H), (I), (K), (L), (M), or (N). Code 1 must also be used even if a taxpayer is age 59½ or older and they modify a series of substantially equal periodic payments under section 72(q), (t), or (v) prior to the end of the 5-year period that began with the first payment. | 8, B, D, K, L, M, or P |
| 2 | Early distribution, exception applies. | Use code 2 only if the participant has not reached age 59½ and you know the distribution is any of the following.
| 8, B, D, K, L, M, or P |
| 3 | Disability. | For these purposes, see section 72(m)(7) and Rev. Rul. 85-105, 1985-2 C.B. 53. | D |
| 4 | Death. | Use code 4 regardless of the age of the participant to indicate payment to a decedent’s beneficiary, including an estate or trust. Also use it for death benefit payments made by an employer but not made as part of a pension, profit-sharing, or retirement plan. Also use it for payments of reportable death benefits. | 8, A, B, D, G, H, K, L, M, P, or Y** |
| 5 | Prohibited transaction. | Use code 5 if there was a prohibited transaction involving the IRA account. Code 5 means the account is no longer an IRA. | None |
| 6 | Section 1035 exchange. | Use code 6 to indicate the tax-free exchange of life insurance, annuity, long-term care insurance, or endowment contracts under section 1035. | W |
| 7 | Normal distribution. | Use code 7: (a) for a normal distribution from a plan, including a traditional IRA, section 401(k), or section 403(b) plan, if the employee/taxpayer is at least age 59½; (b) for a Roth IRA conversion if the participant is at least age 59½; and (c) to report a distribution from a life insurance, annuity, or endowment contract and for reporting income from a failed life insurance contract under section 7702(g) and (h). See Rev. Proc. 2008-42, 2008-29 I.R.B. 160, available at IRS.gov/irb/2008-29_IRB#RP-2008-42. Generally, use code 7 if no other code applies. Do not use code 7 for a Roth IRA. Note: Code 1 must be used even if a taxpayer is age 59½ or older and they modify a series of substantially equal periodic payments under section 72(q), (t), or (v) prior to the end of the 5-year period that began with the first payment. | A, B, D, K, L, M, or Y** |
| 8 | Excess contributions plus earnings/excess deferrals (and/or earnings) taxable in 2026. | Use code 8 for a corrective IRA distribution under section 408(d)(4), unless code P applies. Also use this code for corrective distributions of excess deferrals, excess contributions, and excess aggregate contributions, unless code P applies. See Corrective Distributions, earlier, and IRA Revocation or Account Closure, earlier, for more information. For a Trump account, use this code for a distribution of excess contributions (which should include earnings or losses). | 1, 2, 4, B, J, or K |
| 9 | Cost of current life insurance protection. | Use code 9 to report premiums paid by a trustee or custodian for current life or other insurance protection. See the instructions for box 2a, earlier, for more information. | None |
| A | May be eligible for 10-year tax option. | Use code A only for participants born before January 2, 1936, or their beneficiaries to indicate the distribution may be eligible for the 10-year tax option method of computing the tax on lump-sum distributions (on Form 4972, Tax on Lump-Sum Distributions). To determine whether the distribution may be eligible for the tax option, you need not consider whether the recipient used this method (or capital gain treatment) in the past. | 4 or 7 |
| B | Designated Roth account distribution. | Use code B for a distribution from a designated Roth account. But use code E for a section 415 distribution under EPCRS (see code E) or code H for a direct rollover to a Roth IRA. | 1, 2, 4, 7, 8, G, L, M, P, or U |
| C | Reportable death benefits under section 6050Y. | Use code C for a distribution to report payments of reportable death benefits. | D |
| D | Annuity payments from nonqualified annuities and distributions from life insurance contracts that may be subject to tax under section 1411. | Use code D for a distribution from any plan or arrangement not described in section 401(a), 403(a), 403(b), 408, 408A, or 457(b). | 1, 2, 3, 4, 7, or C |
| E | Distributions under Employee Plans Compliance Resolution System (EPCRS). | See Distributions Under Employee Plans Compliance Resolution System (EPCRS), earlier. | None |
| F | Charitable gift annuity. | See Charitable gift annuities, earlier. | None |
| G | Direct rollover and direct payment. | Use code G for a direct rollover from a qualified plan, a section 403(b) plan, or a governmental section 457(b) plan to an eligible retirement plan (another qualified plan, a section 403(b) plan, a governmental section 457(b) plan, or an IRA). See Direct Rollovers, earlier. Also use code G for a direct payment from an IRA to an accepting employer plan, for IRRs that are direct rollovers, and to report designated Roth nonelective contributions and designated Roth matching contributions for the year in which the contributions are allocated. Note: Do not use code G for a direct rollover from a designated Roth account to a Roth IRA. Use code H. | 4, B, or K |
| H | Direct rollover of a designated Roth account distribution to a Roth IRA. | Use code H for a direct rollover of a distribution from a designated Roth account to a Roth IRA. | 4 |
| J | Early distribution from a Roth IRA, no known exception. | Use code J for a distribution from a Roth IRA or Roth SIMPLE IRA when code Q or T does not apply. But use code 2 for an IRS levy and code 5 for a prohibited transaction. | 8, P, or S |
| K | Distribution of traditional IRA assets not having a readily available FMV. | Use code K to report distributions of IRA assets not having a readily available FMV. These assets may include:
| 1, 2, 4, 7, 8, G, or Y** |
| L | Loans treated as deemed distributions under section 72(p). | Do not use code L to report a plan loan offset. See Loans Treated as Distributions, earlier. | 1, 2, 4, 7, or B |
| M | Qualified plan loan offset. | Use code M for a qualified plan loan offset (which is generally a type of plan loan offset due to severance from employment or termination of the plan). See Plan loan offsets, earlier. | 1, 2, 4, 7, or B |
| N | Recharacterized IRA contribution made for 2026. | Use code N for a recharacterization of an IRA contribution made for 2026 and recharacterized in 2026 to another type of IRA by a trustee-to-trustee transfer or with the same trustee. | None |
| P | Excess contributions plus earnings/excess deferrals taxable in 2025 or a previous year. | See the explanation for code 8. The IRS suggests that anyone using code P for the refund of an IRA contribution under section 408(d)(4), including excess Roth IRA contributions, advise payees, at the time the distribution is made, that the earnings are taxable in the year in which the contributions were made. Note: A participant is allowed to take out a prior-year excess contribution when the IRS provides tax relief by postponing the tax filing due date, for example, due to a federally declared disaster. | 1, 2, 4, B, or J |
| Q | Qualified distribution from a Roth IRA. | Use code Q for a distribution from a Roth IRA if you know that the participant meets the 5-year holding period and:
Note: If any other code, such as 8 or P, applies, use code J. | None |
| R | Recharacterized IRA contribution made for 2025 or a previous year. | Use code R for a recharacterization of an IRA contribution made for 2025 and recharacterized in 2026 to another type of IRA by a trustee-to-trustee transfer or with the same trustee. Note: A participant is allowed to recharacterize an IRA contribution made for a prior year when the IRS provides tax relief by postponing the tax filing due date, for example, due to a federally declared disaster. | None |
| S | Early distribution from a SIMPLE IRA in the first 2 years, no known exception. | Use code S only if the distribution is from a SIMPLE IRA in the first 2 years, the employee/taxpayer has not reached age 59½, and none of the exceptions under section 72(t) are known to apply when the distribution is made. The 2-year period begins on the day contributions are first deposited in the individual’s SIMPLE IRA. Do not use code S if code 3 or 4 applies. | J |
| T | Roth IRA distribution, exception applies. | Use code T for a distribution from a Roth IRA if you do not know if the 5-year holding period has been met but:
Note: If any other code, such as 8 or P, applies, use code J. | None |
| U | Dividends distributed from an ESOP under section 404(k). | Use code U for a distribution of dividends from an employee stock ownership plan (ESOP) under section 404(k). These are not eligible rollover distributions. Note: Do not report dividends paid by the corporation directly to plan participants or their beneficiaries. Continue to report those dividends on Form 1099-DIV. | B |
| W | Charges or payments for purchasing qualified long-term care insurance contracts under combined arrangements. | Use code W for charges or payments for purchasing qualified long-term care insurance contracts under combined arrangements that are excludable under section 72(e)(11) against the cash value of an annuity contract or the cash surrender value of a life insurance contract. | 6 |
| Y | Qualified charitable distribution (QCD) claimed under section 408(d)(8). | Use code Y for a distribution made directly from an IRA to a charitable organization and that the taxpayer intends to treat as a QCD. For more information about QCDs, see Pub. 590-B. Note: When using code Y, you must use either code 4, 7, or K. See Qualified charitable distributions (QCDs), earlier. Note: For tax year 2026, using code Y is optional. You may choose, but are not required, to use code Y. | 4, 7, or K |
“*See the first two Cautions for the box 7a. instructions, earlier.
**When reporting a QCD, you must use code Y first with either code 4, 7, or K.”
How the codes combine on one form
The IRS instructions tell the payer how many codes fit on one Form 1099-R and which pairs are allowed:
“Caution: Enter a maximum of two alphanumeric codes in box 7a. See Table 1 for allowable combinations. Only three numeric combinations are permitted on one Form 1099-R: codes 8 and 1, 8 and 2, or 8 and 4. If two or more other numeric codes are applicable, you must file more than one Form 1099-R. For example, if part of a distribution is premature (code 1) and part is not (code 7), file one Form 1099-R for the part to which code 1 applies and another Form 1099-R for the part to which code 7 applies.”
They also give examples of pairs and say when a separate form is needed:
“When applicable, enter a numeric and an alpha code. For example, when using code P for a traditional IRA distribution under section 408(d)(4), you must also enter code 1, if it applies. For a normal distribution from a qualified plan that qualifies for the 10-year tax option, enter codes 7 and A. For a direct rollover to an IRA or a qualified plan for the surviving spouse of a deceased participant, or on behalf of a nonspouse designated beneficiary, enter codes 4 and G (codes 4 and H if from a designated Roth account to a Roth IRA). If two or more distribution codes are not valid combinations, you must file more than one Form 1099-R.”
“If part of a distribution is paid in a direct rollover and part is not, you must file a separate Form 1099-R for each part showing the appropriate code on each form.”
Pairs the IRS names in these passages are 7 and A, 4 and G, 4 and H, P and 1, and the numeric pairs 8 and 1, 8 and 2, and 8 and 4. The “used with” column of the chart is the IRS list of allowable combinations for each code.
Box 7 on the 2026 Form 1099-R
The 2026 instructions describe a change to the box numbers:
“New boxes 7a–7d of Form 1099-R. We renumbered box 7 and the “IRA/SEP/SIMPLE” checkbox to boxes 7a and 7b and we added boxes 7c (Trump account) and 7d (Earnings on excess contributions).”
They describe the box this way:
“Enter the appropriate code(s) in box 7a. Use Table 1 to determine the appropriate code(s) to enter in box 7a for any amounts reported on Form 1099-R. Read the codes carefully and enter them accurately because the IRS uses the codes to help determine whether the recipient has properly reported the distribution. If the codes you enter are incorrect, the IRS may improperly propose changes to the recipient’s taxes.”
Code Y in 2026
The IRS marks the use of code Y as optional for 2026:
“Note: For tax year 2026, using code Y is optional. You may choose, but are not required, to use code Y.”
What Form 1099-R reports
The IRS About Form 1099-R page describes who gets a form and from what:
“File Form 1099-R for each person to whom you have made a designated distribution or are treated as having made a distribution of $10 or more from:
Profit-sharing or retirement plans.
Any individual retirement arrangements (IRAs).
Annuities, pensions, insurance contracts, survivor income benefit plans.
Permanent and total disability payments under life insurance contracts.
Charitable gift annuities, etc.”
The chart is part of instructions written for the payers who file the form. For what a distribution costs in tax, see the 401(k) withdrawal tax calculator and the RMD calculator.
Frequently asked questions
What is box 7 on Form 1099-R?
It is the box where the payer enters the distribution code or codes. The 2026 IRS instructions say the IRS renumbered box 7 and the IRA/SEP/SIMPLE checkbox to boxes 7a and 7b, and that Table 1 is where the payer finds the code or codes for box 7a.
How many distribution codes can one Form 1099-R show?
The IRS instructions say to enter a maximum of two alphanumeric codes in box 7a. Only three numeric combinations are permitted on one Form 1099-R: codes 8 and 1, 8 and 2, or 8 and 4. If two or more other numeric codes apply, the payer must file more than one Form 1099-R.
What do codes 1, 2 and 7 mean?
Table 1 lists code 1 as “Early distribution, no known exception”, code 2 as “Early distribution, exception applies” and code 7 as “Normal distribution”. The explanation column for each code gives the conditions the IRS attaches to it, and the chart above reproduces them.
What do codes G and H mean?
Table 1 lists code G as “Direct rollover and direct payment” and code H as “Direct rollover of a designated Roth account distribution to a Roth IRA”. The “used with” column lists 4, B, or K for code G and 4 for code H.
Which codes does the IRS list for a Roth IRA distribution?
Table 1 lists code J (“Early distribution from a Roth IRA, no known exception”), code Q (“Qualified distribution from a Roth IRA”) and code T (“Roth IRA distribution, exception applies”), and code B (“Designated Roth account distribution”) for a designated Roth account. Each explanation sets its own conditions, and Table 1 prints “None” in the used-with column for Q and T.
Is code Y required in 2026?
The IRS note under code Y says: “For tax year 2026, using code Y is optional. You may choose, but are not required, to use code Y.” Table 1 also says that when using code Y, the payer must use either code 4, 7, or K.
Who fills in these codes, and for what size of distribution?
The payer does. The chart comes from IRS instructions written for filers of Form 1099-R. The IRS About Form 1099-R page says to file the form for each person to whom you have made a designated distribution or are treated as having made a distribution of $10 or more from the plans and contracts it lists.
Related IRS form pages and calculators
Sources (checked November 2, 2026): IRS: Instructions for Forms 1099-R and 5498 (2026), PDF · IRS: About Form 1099-R