Hi,

I'm starting my taxes and I took a small amount out of my Uk Sipp end of last year. It was only $6500, but need to report it on my US taxes.
I know I have to complete a FBar form, as usual, but how do I enter this amount on my normal taxes?
I'm assuming it's in the Other Income section on form 1040, and I can put something like, Foreign source non taxable income, in the drop down.

Is this the correct way to enter it or should I be doing another form?

Many thanks for any help

Are you tax resident in the USA? Why are you thinking it is not taxable?

I would put it under pensions and annuities but I think other income would be OK too. The important thing is that you declare it.

We put ours under other income....

+1. The correct way to report is under pensions and annuities and to create a substitute 1099-R (easy to do in turbo tax) but plenty of people declare as other income with no issues. So long as reported on an FBAR and Form 8938 if the relevant thresholds are met, and the income is reported and tax paid then they won’t care where it is reported so long as it is reported and tax paid.

Pension distributions are always reported at Lines 5a and 5b on page 1 of Form 1040. If you have any basis in the plan, you'd calculate this using the general rule so that you know what amount is US taxable. If you are filing Form 3520 and a substitute 3520-A, you won't need to mention the plan and the distribution of Form 8938. You are already reporting the plan on an FBAR.

I have a different opinion. A substitute 1099 should only be created if the original is lost or the payer can't produce one in a timely fashion. Only US source payers are required to produce a 1099 for IRS reporting, so for foreign pensions there will never be an original 1099 (as they are not bound by IRS rules) so there shouldn't be a substitute 1099 either imo. Mine or my wife's UK state pension, company pension and my old UK contracted out money purchase scheme withdrawals go as separate itemized entries under ' Miscellaneous income'. Ultimately it doesn't really matter so long as it's all declared somewhere, but I just don't think you should create a 1099 for something that never existed or was required in the first place.
And to the OP, yes it's all taxable in the US.

Frequently the distributions have basis, so for many individuals not all of the payments are taxable when received.Publication 939 (12/2025), General Rule for Pensions and Annuities | Internal Revenue Service

Many thanks for the replies.

Not sure why I thought it would be non taxable...wishful thinking perhaps. I am a US citizen now, so realise it probably will be taxable.
Anyway I wont put that, I'll just enter it under other income or miscellaneous. Just wanted to be sure it was correct.
This is the first year that I have to enter my UK state pension on my taxes too and was entering that under Other Income too.

Now what C_C wrote above was interesting. In the US if you make say non-tax deductible contributions to a personal IRA then only the investment gains are tà xable when money is withdrawn - the original contribution (which was taxed before you put it into the account) is the 'basis' and is not subject to further taxation. I was not aware this might also apply to a foreign personal pension. If so, is your withdrawal all gains, or does it contain part of the original contribution? If the latter, then perhaps that part is in fact non taxable. I wasn't thinking UK personal pension when I wrote it was all taxable, and even then I would have thought initially the IRS wouldn't recognize such plans. But maybe they do. All my foreign pension stuff is one way or another related to UK employment, and all that is fully taxable in the USA.

To qualify as a tax free cost basis the income used to fund a foreign pension must have been declared to the IRS and the appropriate IRS tax paid. Therefore only contributions made by those who were US Citizens at the time of the contribution, or those who were otherwise subject to IRS taxation at the time of the contribution (such as being a permanent resident or a green card holder) will be tax free. That means that for most expats all of a foreign pension is taxable even if after tax contributions were made and taxed by the foreign country, the only exception being any contributions made after moving here, and that is possible for a number of years.