Understanding Your Form 5498

What Is Form 5498?

Form 5498 is the receipt the IRS uses to verify what went into your IRA. While Form 1099-R tracks what came out, the 5498 tracks what went in and what the account is worth.

Your custodian files it. You get a copy. The IRS gets a copy. Most people throw it in a drawer because it arrives in May or June, long after tax season feels over. That is a mistake.

This form is the confirmation document the IRS uses to verify the rollovers and contributions you reported on your return. Without it, the IRS has your word and nothing else.

When Does It Arrive?

Form 5498 is due to you and the IRS by May 31 of the year following the tax year. If you made contributions or received a rollover deposit during the prior year, the form covers that activity.

It arrives months after your 1099-R and months after most people have already filed their tax return. That timing gap is intentional. The IRS collects the distribution data first, then the contribution data, then compares both against your return.

Box 1: IRA Contributions

This is the total amount you contributed to your IRA for the tax year. For the current year, this should not exceed $7,500 ($8,600 if you are 50 or older) unless a rollover was incorrectly classified as a contribution.

If a $100,000 rollover shows up in Box 1 instead of Box 2, your custodian made an error and the IRS will see what looks like a massive excess contribution. Contact your custodian immediately and request a corrected 5498.

Box 2: Rollover Contributions

This is where your 401(k) rollover, IRA-to-IRA rollover, or any other rollover deposit should appear. This is the box the IRS matches against the 1099-R from the distributing custodian.

If Box 2 matches the distribution amount on your 1099-R and your return reports it as a non-taxable rollover, the IRS reconciliation passes. If Box 2 is blank or shows the wrong amount, the IRS sees a distribution with no corresponding rollover and sends a CP2000 notice.

Box 5: Fair Market Value

This is the total value of your IRA as of December 31 of the tax year. This number is used to calculate your Required Minimum Distribution for the following year.

If you have multiple IRAs, each custodian reports the FMV of their account separately. Your RMD calculation uses the combined total across all your traditional IRAs.

This number also matters for the pro-rata rule. The December 31 FMV of all your traditional, SEP, and SIMPLE IRAs is the denominator in the pro-rata calculation when you do a Roth conversion.

Box 11: RMD Required

A simple checkbox. If it is checked, the IRS (and you) are on notice that a Required Minimum Distribution is due from this account for the following year. This is the IRS telling you that you are officially in the RMD zone.

If this box is checked and you do not take your RMD, the IRS knows. They have the FMV from Box 5, the life expectancy tables, and your date of birth. They can calculate what you should have taken and compare it against what you actually distributed.

Box 13a, 13b, 13c: Late Rollover and Recharacterization

These boxes report postponed or late contributions, including late rollovers made under the self-certification process and recharacterizations. If you self-certified a late rollover under Revenue Procedure 2020-46, this is where that certification shows up on paper.

• Box 13a shows the amount.
• Box 13b shows the code indicating the type of postponed contribution.
• Box 13c shows the year the contribution is designated for.

These boxes create the paper trail that connects your self-certification letter to the IRS record.

Why This Form Matters After Filing

Your tax return tells the IRS your version of events. Form 5498 tells the IRS your custodian's version. If they agree, nothing happens. If they disagree, you get a notice.

Most people assume that once they file their return and get a refund, the year is closed. It is not. The IRS matching process does not run until all forms are in, which is not until after the May 31 filing deadline for 5498s. The comparison happens in the summer or fall, and notices can arrive 12 to 18 months after the original transaction.

What to Do When It's Wrong

Open the form when it arrives. Compare Box 2 against the rollover amount you reported on your return. Compare Box 1 against the contributions you claimed.

If the numbers match, keep the form with your tax records. If they do not, contact your custodian immediately and request a corrected 5498.

Do not wait for the IRS to find the discrepancy. By the time they do, the correction is harder to make and the notice requires a formal response.

Frequently Asked Questions