IF you are going to Complete 4972 10-year tax option. (See federal instructions.)
Multiple recipients see Multiple recipients of a lump-sum distribution, earlier. Line 8. If Form 1099-R, box 2a, is blank, you must first figure the taxable amount. For details on how to do this, see Pub. 575. If you made the 20% capital gain election, enter only the ordinary income portion of the distribution on this line. The ordinary income portion is the amount from Form 1099-R, box 2a, minus the amount from box 3 of that form. Add the amount from line F of the NUA Worksheet if you included NUA capital gain in the 20% capital gain election. On the dotted line next to line 8, write “NUA” and the amount from line F of the NUA Worksheet.
4972 Instructions