1099-R distribution code F.

What the IRS says code F is

In Table 1, Guide to Distribution Codes, the entry reads "Charitable gift annuity" and refers payers to the section on charitable gift annuities. The "used with" column says None.

The reporting rule for payers: if cash or capital gain property is donated in exchange for a charitable gift annuity, distributions from the annuity are reported on Form 1099-R. Box 1 shows the total amount distributed during the year, box 2a the taxable amount, box 3 any amount taxable as a capital gain, and box 5 any nontaxable amount, with code F in box 7a.

For the box 3 amount, the instructions tell the payer to advise the annuity recipient of any part subject to the 28% rate gain for collectibles and any unrecaptured section 1250 gain.

How it affects Form 1040

The Form 1040 instructions for lines 5a and 5b describe pension and annuity payments from Form 1099-R: the box 1 total goes on line 5a, and the taxable part on line 5b. They also say that if your Form 1099-R shows a taxable amount you can report that amount on line 5b.

The 2025 Form 1040 instructions do not mention charitable gift annuities by name on those lines, and they do not say where a box 3 capital gain goes. Treat how the capital gain flows to your return as a question for the payer's statement, Publication 575 or a preparer. This page does not decide it.

Common mistakes

• Entering the whole box 1 amount as taxable. Box 1 is the total paid; boxes 2a, 3 and 5 split it up.
• Ignoring box 3. The instructions treat a capital gain amount as its own item and tell the payer to warn about collectibles and unrecaptured section 1250 gain portions.
• Expecting a second code. Table 1 lists none to be used with F, so a form with F and another code is worth asking the payer about.
• Treating the payment like an IRA distribution. A gift annuity is not an IRA, so the IRA rules for lines 4a and 4b do not apply to it.

Worked example

Illustration, not a real case. A charity pays a donor $6,000 in a year on a gift annuity. Form 1099-R shows $6,000 in box 1 and code F in box 7a, with the payer splitting the amount between boxes 2a, 3 and 5. The donor starts from those boxes, not from box 1 alone.

Related codes

Code F sits beside 6, 9, W. The full 1099-R distribution codes lookup lets you search every code; the other pages in this set are 6, 9, E, K, S, U, W.

Sources

Retrieved November 2, 2026. Review status: needed before this page is treated as final.

• IRS, Instructions for Forms 1099-R and 5498 (2026): Table 1, Guide to Distribution Codes, plus the box 1, 2a and 7a text.
• IRS, Instructions for Form 1040 (2025): lines 4a and 4b (IRA distributions) and 5a and 5b (pensions and annuities).

Form 1099-R changes for 2026: box 7 becomes box 7a. On forms for earlier years the code is in box 7. The Form 1040 instructions read are for tax year 2025.