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posted Jun 5, 2019 11:40:23 PM

I receive pension payments from the Illinois Teachers Retirement System. It is a 401a plan and they say it is a qualified plan. There is no RMD, however.

The followup questions  when I enter the data do no apply to this plan.  Do I simply indicate it is NOT a qualified plan?

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Level 15
Jun 5, 2019 11:40:25 PM

No- it is a qualified plan.

Virtually all pension plans in existence today fall under section 401 of the tax code and they all require RMD's after age 70 1/2.  The question is just to be sure that the requirement was met.  If you receive periodic (monthly) payments from any pension plan you can be assured that the custodian of the plan is meeting the requirements so you can safely answer "yes" to the question.

The answer to the question does not go on your tax return, it is simply to make sure you do not owe any penalty for not taking the RMD.

https://ttlc.intuit.com/replies/3302117

1 Replies
Level 15
Jun 5, 2019 11:40:25 PM

No- it is a qualified plan.

Virtually all pension plans in existence today fall under section 401 of the tax code and they all require RMD's after age 70 1/2.  The question is just to be sure that the requirement was met.  If you receive periodic (monthly) payments from any pension plan you can be assured that the custodian of the plan is meeting the requirements so you can safely answer "yes" to the question.

The answer to the question does not go on your tax return, it is simply to make sure you do not owe any penalty for not taking the RMD.

https://ttlc.intuit.com/replies/3302117