How to do a CARES Act RMD waiver: simply return the RMD(s) to issuing account(s), then file amended return w/o the income? Does issuing bank file amended 1099?

[macuser_22]

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@MrPeteH wrote:

I just did this. I said it is 100% rolled back in.

Good news: it is listed as $0 taxable.

BAD NEWS: Nowhere does it say "ROLLOVER". 

I suspect the calculations went wonky for this inheritance Roth IRA. I've had it several years. Ni issues until now.

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Delete the 1099-R you entered and re-enter.

Answer the RMD question that "None of this distribution was a RMD" or "RMD not required" depending on the TurboTax version - because it was NOT a RMD, there were no 2020 RMD's.

If this is an inherited IRA then answer the "Is this IRA inherited" with NO. The purpose of that question is to PREVENT rolling an inherited IRA over, but is allowed for 2020 only.

Then you will get the screen to say it was "moved" and all rolled over.

Also check the box that this was NOT a COVID related distributions - it was a RMD that was returned.

That will put the 1099-R box 1 amount on the 1040 form line 4a with the word ROLLOVER next to it.

[MrPeteH]

Easiest: just go to forms mode, visit the 1099-R worksheet, and UNcheck the inherited IRA checkbox for now... until Intuit fixes the software. 😉

[MrPeteH]

@ReneeM7122 -- thanks!

Turns out the real answer for my situation has to do with a bug in the Inheritance IRA code.

Enter as NOT an Inheritance IRA, or in forms mode uncheck that on the 1099-R worksheet, and everything gets reported correctly, including the "ROLLOVER" indicator on 1040 line 4b.

😄