1099-R

Forum|Forum|5 years ago
February 3, 2021
1 reply
2 views

In April 2020 as per CARES act, I rolled my 2020 RMD distribution back to my IRA. On this RMD I already paid taxes.

Now I received the 1099-R for 2020 showing in box "2a Taxable amount" the total RMD I rolled back. As a result, TurboTax sees my rolled back RMD as income and calculates the taxes I have to pay again (since I already paid them earlier).

Does anyone have an idea how to make TurboTax not to see the rolled back RMD as taxable income.

I have form 5498 that show the RMD rollover but I don't know how to incorporate it to TurboTax.

Thanks for your help

DanaB27

Level 15

Please follow these steps to enter your 1099-R and RMD rollover:

Login to your TurboTax Account
Click on the Search box on the top and type “1099-R”
Click on “Jump to 1099-R” and enter your 1099-R
Continue until "How much was a RMD?" and select "none"
Continue "Tell us if you moved the money through a rollover or conversion" and select "I rolled over some or all of it to an IRA or other retirement account within the time limits (normally 60 days)"
Continue answering the questions.

RMDs were waived for 2020. You must indicate to TurboTax that none of the distribution was RMD. If you already enter the 1099-R as RMD and changing your answer to the RMD question doesn't work then you have to delete and renter the 1099-R form.

Please be aware that if you didn't pay back the taxes withheld with the return of the distribution then that portion will be still included in your taxable income. But you will see the credit of the taxes paid on line 25b of Form 1040.

You can verify your entry by looking at your Form 1040 line 4 or 5:

Click on "Tax Tools" in the left menu
Click "Tools"
Click "View Tax Summary" in the Tool Center window
Click on "Preview my 1040" on the left

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hbaincdbAuthor

Level 2

Thank you,

I modify the 1099-R I received from my IRA and changed box 2a to 0, I also changed box 7 from 7 to 8. That fixed the issue with TurboTax, but I'm worried IRS may flag it since the 1099-R was modified by me.

BTW I use TurboTax for Windows.