Instructions For Form 1040 - U.s. Individual Income Tax Return - 2016 Page 28
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107 2017 Form 1040—Lines 16a and 16b
Keep for Your Records
Simplified Method Worksheet—Lines 16a and 16b
Before you begin:
If you are the bene ciary of a deceased employee or former employee who died before August 21, 1996, include
any death bene t exclusion that you are entitled to (up to $5,000) in the amount entered on line 2 below.
More than one pension or annuity. If you had more than one partially taxable pension or annuity, gure the taxable part of each separately. Enter
the total of the taxable parts on Form 1040, line 16b. Enter the total pension or annuity payments received in 2017 on Form 1040, line 16a.
1.
Enter the total pension or annuity payments from Form 1099-R, box 1. Also, enter this amount on Form 1040,
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1.
line 16a
2.
Enter your cost in the plan at the annuity starting date . . . . . . . . . . . . .
2.
Note. If you completed this worksheet last year, skip line 3 and enter the amount from line 4
of last year’s worksheet on line 4 below (even if the amount of your pension or annuity has
changed). Otherwise, go to line 3.
3. Enter the appropriate number from Table 1 below. But if your annuity starting date was after
1997 and the payments are for your life and that of your bene ciary, enter the appropriate
number from Table 2 below
. . . . . . . . . . . . . . . . . . . . .
3.
4. Divide line 2 by the number on line 3
. . . . . . . . . . . . . . . . . .
4.
5. Multiply line 4 by the number of months for which this year’s payments were made. If your
annuity starting date was before 1987, skip lines 6 and 7 and enter this amount on line 8.
Otherwise, go to line 6
. . . . . . . . . . . . . . . . . . . . . . .
5.
6. Enter the amount, if any, recovered tax free in years after 1986. If you completed this
. . . . . .
6.
worksheet last year, enter the amount from line 10 of last year’s worksheet
. . . . . . . . . . . . . . . . . . . . . .
7. Subtract line 6 from line 2
7.
8. Enter the smaller of line 5 or line 7
. . . . . . . . . . . . . . . . . . . . . . . . . . .
8.
9. Taxable amount. Subtract line 8 from line 1. Enter the result, but not less than zero. Also, enter this amount on Form
1040, line 16b. If your Form 1099-R shows a larger amount, use the amount on this line instead of the amount from
Form 1099-R. If you are a retired public safety of cer, see Insurance Premiums for Retired Public Safety Of cers
. . . . . . . . . . . . . . . . . . . . . . . . . .
9.
before entering an amount on line 16b
10. Was your annuity starting date before 1987?
Yes.
Do not complete the rest of this worksheet.
STOP
No.
Add lines 6 and 8. This is the amount you have recovered tax free through 2017. You will need this
. . . . . . . . . . . . . . . . .
10.
number if you need to ll out this worksheet next year
11.
Balance of cost to be recovered. Subtract line 10 from line 2. If zero, you won’t have to complete this
11.
worksheet next year. The payments you receive next year will generally be fully taxable
. . . . . . . .
Table 1 for Line 3 Above
AND your annuity starting date was—
IF the age at annuity starting
before November 19, 1996,
after November 18, 1996,
date was . . .
enter on line 3 . . .
enter on line 3 . . .
55 or under
300
360
56–60
260
310
61–65
240
260
66–70
170
210
71 or older
120
160
Table 2 for Line 3 Above
IF the combined ages at annuity
starting date were . . .
THEN enter on line 3 . . .
110 or under
410
111–120
360
121–130
310
131–140
260
141 or older
210
-28-
Need more information or forms? Visit IRS.gov.
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