What is the best method for reporting UK teacher pension in the FreeTaxUSA?

crazy_ate

The 2025 IRS Form 1040 instructions page 23 stipulates the following:

Report distributions from foreign pension plans on lines 5a and 5b.

This is the way I have done it (manually for years), however in FreeTaxUSA the only way I can access those lines (5a and 5b) is by creating a fake 1099-R.

Is this the recommended method for reporting foreign pension income/distributions or is there some other way to get that number placed on lines 5a and 5b as called for by the IRS instructions?

JanaA

Hello,

You're absolutely correct that the IRS instructions require foreign pension distributions to be reported on lines 5a and 5b. Unfortunately, our software currently requires a 1099-R form to populate those lines, even though foreign pensions don't generate a 1099-R.

Creating a manual 1099-R entry is the correct workaround in FreeTaxUSA to properly report your foreign pension income on the appropriate lines. When you create this entry, you'll want to ensure the amounts are accurately reflected on lines 5a (total distribution) and 5b (taxable amount), consistent with how you've reported it in prior years and in accordance with any applicable tax treaty provisions.

While I understand this feels like creating a "fake" form, you're actually using the software's available input method to achieve the correct tax form result. The important outcome is that your foreign pension distribution appears on the correct lines of your Form 1040, which this method accomplishes.