I don't know if she opened the Roth before 2014 or not. If I answer that she opened it after 2014, Turbo Tax needs more info about her initial contributions that I don't have. I *AM* supposed to say that it's an inheritance, right?
Yes, you must indicate that it's an inherited Roth IRA.
If her Roth accounts have met the 5-year holding requirement because she made her first contribution to any Roth IRA for a tax year before 2014, all distributions you receive from this account are qualified distributions, entirely tax free. If her first contribution to a Roth IRA was for 2014 or later, distributions follow the ordering rules for nonqualified Roth IRA distributions, with taxable earnings coming out last.
If you did not received a distribution of substantially less then the full balance of the Roth IRA, it's likely that that you received a distribution allocable only to original contributions, tax free. But ideally you'll want to answer TurboTax's questions accurately.
Yes, you must indicate that it's an inherited Roth IRA.
If her Roth accounts have met the 5-year holding requirement because she made her first contribution to any Roth IRA for a tax year before 2014, all distributions you receive from this account are qualified distributions, entirely tax free. If her first contribution to a Roth IRA was for 2014 or later, distributions follow the ordering rules for nonqualified Roth IRA distributions, with taxable earnings coming out last.
If you did not received a distribution of substantially less then the full balance of the Roth IRA, it's likely that that you received a distribution allocable only to original contributions, tax free. But ideally you'll want to answer TurboTax's questions accurately.
Thank you! The "T" distribution code threw me a bit. Every other inheritance related question I saw referred to a different distribution code, so I wasn't quite sure how to proceed. Now, I guess I need to dig for some info.