The IRS Form 5498 is an informational form that a financial organization uses to provide information about individual retirement accounts (IRAs) to account owners and the IRS each year. This includes basic account balance information as well as amounts of contributions, rollovers, and related transactions. Form 5498 is not actually filed with your federal tax return.
What information is found on Form 5498?
The following information may be included on this form:
The type of IRA (e.g., traditional, Roth, SEP, SIMPLE)
Regular and rollover contributions you made to your traditional or Roth IRA
Roth conversion amounts to your Roth IRA
Amounts that you recharacterized between a traditional and Roth IRA
The Fair Market Value (FMV) of your IRA as of December 31 of the prior year
The amount and due date, if you must take a required minimum distribution (RMD) for the year
What should I use Form 5498 for?
Form 5498 is not filed with your federal tax return. Instead, this form is simply informational and provides you an opportunity to verify the details reported to the IRS by the custodian or issuer of your IRA account match your IRA contributions and rollovers for the applicable tax year.
Why is my prior year SEP IRA contribution listed as a current year contribution on my Form 5498?
Form 5498 is issued for SEP IRAs to report employer contributions made on your behalf as well as any rollover contributions or recharacterizations that you make to your own SEP IRA.
Contributions for the prior year can be made to SEP IRAs by employers up to the tax filing due date of the business, plus extensions. Per IRS requirements, contributions made to a SEP IRA are always reported on Form 5498 for the year in which they are actually received, regardless of the tax year for which they are made.
When will I receive Form 5498?
IRA providers have until May 31 to file Form 5498 with the IRS. As a result, you may receive this form after you have filed your taxes. The reason you typically receive this form later in the year is because IRA rules allow an account owner to make prior-year contributions up until the federal tax-filing deadline. Waiting until May 31 allows IRA providers to ensure all contributions are accounted for.
If you have an IRA with Guideline, you will receive your Form 5498 by May 31 in the Tax documents or IRS section of your dashboard. Please note, we are unable to provide this document earlier than this deadline. If you would like to review your Guideline IRA contribution history before your Form 5498 is available, you can do so within the Transactions section of your dashboard.
The information provided herein is general in nature and is for informational purposes only. It should not be used as a substitute for specific tax, legal and/or financial advice that considers all relevant facts and circumstances. You are advised to consult a qualified financial adviser or tax professional before relying on the information provided herein.