Form 5498

What is Form 5498?

Form 5498 (IRA Contribution Information) is an IRS form that is used for reporting contributions made to an individual retirement agreement (IRA), rollovers, and distributions for the previous tax year.

What is reported on Form 5498?

Form 5498 reports the following-

• Contributions to Traditional IRAs, Roth IRAs, SEP IRAs, SIMPLE IRAs, and Deemed IRAs.
• The total amount converted when an IRA is converted to a Roth IRA.
• Contributions to a Kay Bailey Hutchison Spousal IRA under section 219(c).

Who files Form 5498?

Form 5498 is filed by financial institutions or trustees who manage IRA contributions. The form is sent to both IRS and taxpayer. However, no action is required from the taxpayer. The form is only used for recordkeeping and to verify IRA contributions and rollovers.

Filing Form 5498

The IRS uses Form 5498 to track retirement savings and ensure compliance. Here is a breakdown of each box on Form 5498 and what should be reported.

Box 1 – IRA Contributions

Contributions to a traditional IRA including gross contributions, amounts allocated to life insurance costs, and any excess contributions.

Box 2 – Rollover Contributions

Rollover contributions received in an IRA including rollovers between IRAs, from qualified plans like 401(k)s, and military death gratuities or SGLI payments.

Box 3 – Roth IRA Conversion Amount

The total amount converted from a traditional, SEP, or SIMPLE IRA to a Roth IRA.

Box 4 – Recharacterized Contributions

Any amounts, plus earnings, that were recharacterized from one type of IRA to another.

Box 5 – FMV of Account

The fair market value (FMV) of the IRA account.

Box 6 – Life Insurance Cost Included in Box 1

Contributions in box 1 that were allocated to the cost of life insurance.

Box 7 – Checkboxes

Indicate whether the account is a traditional IRA, SEP IRA, SIMPLE IRA, Roth IRA, Roth SEP IRA, or Roth SIMPLE IRA.

Box 8, 9, 10 – SEP Contributions, SIMPLE Contributions, Roth IRA Contributions

Employer contributions to a SEP IRA, SIMPLE IRA, and Roth IRA contributions.

Box 11, 12a, 12b – RMD Contributions

Required minimum distribution (RMD) amount, date, and if it’s applicable for the following tax year.

Box 13a, 13b – Postponed/Late Contributions, Year, Code

Contributions made in a prior year, including late rollovers. Plus, tax year of postponed contribution and appropriate IRS code.

Box 14a, 14b – Repayments, Code

Repayments and correct repayment code as applicable.

Box 15a, 15b – FMV of Certain Specified Assets, Code(s)

Fair market value of specific IRA investments and up to two codes representing the types of assets.