Hello,
My Dad passed in 2024 and was not able to take his Traditional IRA RMD. My Mom was the sole Beneficiary. She had his account closed and did a Trustee-to-Trustee Transfer of all funds to a credit union where she opened up a new Traditional IRA with her name on it. From there, she took my Dad’s final RMD and she received a Form 1099-R showing only her name on it, the Gross Distribution Amount, as well as the Federal Income Tax she had withheld. The Code in Box 7 is “7.”
I imported her 1099 into TT and the “Form 1099-R, withdrawal of money from 401(k) retirement plans, pensions, IRA’s etc.” button is clicked and it shows that the 1099 belongs to my Mom.
Should I choose “NO” for the question, “Did (Mom’s name) Inherit the IRA from (Credit Union Name)?
If “No” is the correct answer, I also need help with their IRA Basis. Do I combine my Dad’s 2023 Basis with my Mom’s 2023 Basis and put the total dollar amount under my Mom’s “Total Basis as of December 31, 2023”? Or do I only enter my Mom’s 2023 Basis and put my Dad’s elsewhere?
Thank you so much for any help someone can provide me.
