DianeW777
Expert Alumni

Get your taxes done using TurboTax

Not exactly.  The information you received is not correct.  The 1099-R is taxable to you and you must enter it into your tax return.  It simply means you are not being penalized for taking it before retirement age because you inherited it, as opposed to it being your own plan. 

There are some other items that may not be taxed if inherited, however a retirement distribution is not one of them.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post