dmertz
Level 15

Get your taxes done using TurboTax

It's extremely difficult to get TurboTax to create the necessary Form 5329 with respect to a late-taken distribution from an inherited IRA.  I would probably just prepare and mail the 2021 and 2022 Forms 5329 after filing your 2022 tax return, making sure to sign each of the Forms 5329.  No payment is to be made when requesting a waiver of the excess-accumulation penalty.  The IRS will bill for the penalty if they deny the request, which is rare.

 

The instructions for completing Part IX of Form 5329 to request the waiver are here:

https://www.irs.gov/instructions/i5329#en_US_2022_publink13330rd0e1693

 

Forms 5329 are here:

https://www.irs.gov/pub/irs-prior/f5329--2021.pdf

https://www.irs.gov/pub/irs-prior/f5329--2022.pdf

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