If I have drawn down more money than my RMD requires, why am I being taxed on excess accumulations?

[DaveF1006]

Whether you have one or several, here is what you need to do to ensure you won't be taxed a penalty. Here is how to answer those questions.

1. Federal → Wages & Income → Retirement Plans and Social Security → IRA, 401(k), Pension Withdrawals (1099‑R) Then click Edit next to each 1099‑R.
2. When TurboTax asks “Did you take the required minimum distribution for this account?” 
3. Choose: Yes, I took the required minimum distribution.
4. Even if you withdrew more than required, TurboTax needs this specific answer to confirm you satisfied the RMD. 
5. Then it asks: “How much did you withdraw?”
6. Enter the amount on your 1099‑R (which is higher than the RMD). This tells TurboTax you satisfied the requirement.

If you have additional 1099 R 's, repeat the process for each one.

 

[Mikeg_acton]

Thanks for responding Dave.  When I go through these steps, it never asks "Did you take the required minimum distribution for this account."  How do I get that?

[DaveF1006]

To clarify, is this from an IRA of another type of retirement account?

@Mikeg_acton