Airline payment rollover

Submitted by Sten Lindquist on Fri, 2016-05-27 18:57

Does anyone know how IRA custodians should report Airline payment rollovers? Is it a rollover on 5498 or is it a non reportable contribution? Thanks for any help with this

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Permalink Submitted by David Mertz on Fri, 2016-05-27 21:49

The instructions for Form 5498 explicilty indicate that a rollover of an airline payment to an IRA is to be reported in box 2 as a rollover, the same as any other rollover to an IRA.
Not specifically related to your question, IRS Pub 590-A indicates that any airline payment reported in box 1 of Form W-2 must be reported by the taxpayer on Form 1040 or 1040A line 7 and the amount rolled over reported as negative income on Form 1040 line 21 as “airline payment.”