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Level 1
February 1, 2025
Question

When a Code G is entered on Line 12 the amount is not transferred to form 8880 for the retirement credit. When code D is entered it flows correctly to Form 8880. Code G is used by the county where the person works and is similiar to a 401k .

  • February 1, 2025
  • 3 replies
  • 17 views
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3 replies

qbteachmt
Level 15
February 1, 2025

457(b) is deferred comp. Not the same as 401(k). I'm pretty sure that's not qualified for purposes of the retirement savings credit. I know mine wasn't when I was a county teacher paid through the State.

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Camp1040
Level 10
February 1, 2025

A code G can also mean Non-Elective Deferrals: These are employer contributions that are not based on employee contributions.

Intuit Community Champion
February 1, 2025

The IRS says yes to 457B plans. Link: https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-savings-contributions-credit-savers-credit

"Depending on your adjusted gross income reported on your Form 1040 series return, the amount of the credit is 50%, 20% or 10% of:

  • contributions you make to a traditional or Roth IRA,
  • elective salary deferral contributions to a 401(k), 403(b), governmental 457(b), SARSEP, or SIMPLE plan,
  • voluntary after-tax employee contributions made to a qualified retirement plan (including the federal Thrift Savings Plan) or 403(b) plan,
  • contributions to a 501(c)(18)(D) plan, or
  • contributions made to an ABLE account for which you are the designated beneficiary (beginning in 2018)."
  • This is what the IRS says about 457B plans. 

         "Plans of deferred compensation described in IRC section 457 are available for certain state and local governments and non-governmental entities tax exempt under IRC Section 501. They can be either eligible plans under IRC 457(b) or ineligible plans under IRC 457(f). Plans eligible under 457(b) allow employees of sponsoring organizations to defer income taxation on retirement savings into future years. Ineligible plans may trigger different tax treatment under IRC 457(f)."

  • Seems like an error in ProSeries to me
qbteachmt
Level 15
February 1, 2025

To clarify: the OP didn't stated 457(b). I did. We don't know enough to answer definitively.

Don't yell at us; we're volunteers
Intuit Community Champion
February 2, 2025

Code G on a 2024 W2 box 12 is Elective Deferrals From a 457B

Level 2
February 12, 2025

I was having this same issue, but I noticed next the Box 12 input it gives you some options related to Code G on Box 12. I know for a fact the one I have is an elective deferral, so I clicked on Yes. Once I did that it added the Form 8880 and gave me the Saver's Credit.

Level 15
February 12, 2025

@Coria_ITS wrote:

but I noticed next the Box 12 input it gives you some options related to Code G on Box 12.


 

I forgot about that!  Thanks for the reminder.