This appears to be required by the IRS as stated in IRS Publ. 590B under the discussion starting on page 13 about Qualified Charitable Distributions.
Thanks. Very helpful. BTW, Cash App Taxes doesn't do this. I expect that they will next year.
While entering your form 1099-R, if you have entered a birth date which makes you older than 70 1/2 in the tax year, TurboTax will ask you if any portion of your distribution was transferred to charity. You can then enter the amount transferred to charity.
The code in box 7 of form 1099-R must be 7 and the box IRA/SEP/SIMPLE must be checked.
TurboTax will then reduce the taxable amount by the amount transferred to charity.
A IRA QCD should be 0 taxable on 1040 line 4b and QCD written by it. Unless you have other 1099R taxable amounts on 4b.
LWilt: Volvogirl answered that question previously. In short, if the birth date you entered previously in TurboTax indicate you're over 70 1/2 years old, and you received any IRA distribution(s), TT will ask to to enter any QCD's made out of the distribution(s).
Okay the QCD shows up on teh 1040. How is it enterd in Turbo Tax?
@CochranRB wrote:
Okay the QCD shows up on teh 1040. How is it enterd in Turbo Tax?
The question was answered in the thread above by @VolvoGirl
You first have to complete the entry of the Form 1099-R.
You will get a 1099R for a QCD or RMD. You enter the 1099R. While entering your form 1099-R, if you have entered a birth date which makes you older than 70 1/2 in the tax year, TurboTax will ask you if any portion of your distribution was transferred to charity. You can then enter the amount transferred to charity.
Enter a 1099R under
Federal Taxes
Wages & Income
Then scroll way down to Retirement Plans and Social Security
The code in box 7 of form 1099-R must be 7 and the box IRA/SEP/SIMPLE must be checked. A IRA QCD should be 0 taxable on 1040 line 4b and QCD written by it. Unless you have other 1099R taxable amounts on 4b.
Then IRA, 401(k), Pension Plan Withdrawals (1099-R) – Click Start
TT Expert said "While entering your form 1099-R, if you have entered a birth date which makes you older than 70 1/2 in the tax year, TurboTax will ask you if any portion of your distribution was transferred to charity. You can then enter the amount transferred to charity."
I'm 72 yearsold. I had QCD last year. TurboTax Deluxe 2024 did not ask " if any portion of your distribution was transferred to charity"
Found it. (QCD input)
Correction - my miss
TT does ask if any distribution ws directed to charity (QCD).
Better check your birthdate under My Info. Did you get a 1099R for it? In 2023 I made QCDs when I was 70 1/2 and got asked. Was 71 in 2024 and got asked this year.
I would delete the 1099R and enter it again Manually. That usually fixes it, especially if you imported it.
Volvo girl: Thanks for response! TT Agent unable to answer this question. Your answer was exactly correct. I used it to verify my approach to itemizing w.r.t. QCDs. Thanks again.
That is NOT my question.
Fidelity did not show that i had a QCD out of my RMD, and since I have to file, the intuit instructions say that I need to have a EIN on the 1099-R form.
It further states that if the EIN cannot be obtained, I will have to send the entire tax report (probably 50 + pages of it to them. No digital filing??? This is ridiculous.
My question was whether the EIN was equal to the Payer's TIN which shows on the 1099-R
You enter the Form 1099-R that is reporting the distribution which was the Qualified Charitable Distribution (QCD). As long as the requirements for QCD have been met, you will see follow-up questions to answer in order to indicate that it was a QCD.
See the following TurboTax help article for more information:
What is a Qualified Charitable Distribution?
If your Form 1099-R shows a payer TIN instead of EIN, they are the same thing.
Yes the payers TIN is the EIN. Should be 9 digits like xx-xxxxxxx. The 1099R doesn’t show if it was to a QCD. After you enter the 1099R one of the follow up questions will ask you if any portion of your distribution was transferred to charity. You can then enter the amount transferred to charity.
Enter a 1099R under
Federal Taxes (Personal for Home & Business)
Wages & Income
Then scroll way down to Retirement Plans and Social Security
Then IRA, 401(k), Pension Plan Withdrawals (1099-R) – Click Start
The code in box 7 of form 1099-R must be 7 and the box IRA/SEP/SIMPLE must be checked. A IRA QCD should be 0 taxable on 1040 line 4b and QCD written by it. Unless you have other 1099R taxable amounts on 4b.