@dmertz, I cannot thank you enough for all of your thorough answers and explanations so that I can understand what you’re saying, what I’m trying to accomplish, and that I am able to do it correctly.
“Yeah, that confuses everyone who encounters this situation. TurboTax really shouldn't be asking this question at all for distributions from traditional IRAs and should just go by the code in box 7 (code 4 indicating a distribution to a beneficiary of an inherited IRA, code 1, 2 or 7 indicating a distribution from an owned IRA).”
I agree - TT really needs to either word it differently, or like you said, go by the code in Box 7.
“By that I meant the account (or least the CD) that is now hers and no longer your father's. You said that two RMDs were taken in 2025, so I assume that that was one for each of the CDs, which is all that was necessary. Based on what you have said, your father's last RMD was completed in 2024.”
Yes, in 2025 I had her take one RMD from the IRA she’s had for many years, and one RMD from the IRA she got from my Dad, that is now hers. Thank you, I’m relieved to know that taking his RMD in 2024 satisfied the requirement for his “final” RMD. Thank you for the clarification, it is much, and truly, appreciated.
Thank you!
