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Retirement tax questions
You should be confused. Turbo asks you if your payment for your Annuity was an RMD. If you say NO you are threatened by the warning " (This is not common)". Since this is a common Annuity you vote to believe that "this is uncommon" can not be the answer so you say Yes. WRONG...maybe.
From what I read elsewhere, if you funded your annuity by buying with funds from a qualified retirement account then the answer is Yes. If you paid cash out your pocket and it is not qualified then the answer is No, and there are no minimum distributions. TurboTax should be more clear. Fortunately I think box 7 is the operative document to make it clear whether or not the funds are qualified. I do not know why Turbotax does this but they should be advised that their question causes confusion and they should clarify.