dmertz
Level 15

Retirement tax questions

The law does not permit you to roll over a distribution paid to you as a non-spouse beneficiary, so TurboTax does not allow you to indicate that it was rolled over.

 

If what actually occurred was a trustee-to-trustee transfer to an inherited IRA indicating your mother as teh decedent and you as the beneficiary, no Form 1099-R should have been issued because a trustee-to-trustee transfer is neither a distribution nor a rollover; you'll need to get a corrected Form 1099-R showing that $0 was distributed.  However, if the money was paid to you personally, the Form 1099-R is correct, the distribution is taxable to you and your deposit of that money into any IRA is an excess contribution subject to penalty (at least to the extent that it exceeds what you are eligible to contribute as a new contribution for the year to an IRA in your own name, not to an inherited IRA for your benefit, which you would need to be reported under Traditional and Roth IRA Contributions).  If this has resulted in an excess contribution, you have until the due date of your tax return to obtain an explicit return of excess contribution from the IRA; contact the IRA custodian.