Husband died in 2023. I inherited his IRA in 2023. Did not rollover into my IRA...title now listed as my name R/O IRA VFTC as custodian. Turbo Tax asking if I inherited this and year when spouse died. Do I still have to indicate that I inherited it and the year and do this for every future year? Also we both had filled out 8606 in past. Do I combine these now?
"Did not rollover into my IRA...title now listed as my name R/O IRA VFTC as custodian."
The title suggests that you did roll the inherited IRA over to an IRA of your own and that the account is not an inherited IRA. There is no limit to the number of traditional IRAs that an individual can have but for tax purposes they are treated as if they were all combined into a single IRA.
If Form 1099-R for a distribution from this Rollover IRA has code 4 in box 7, the distribution is from an inherited IRA and you would answer Yes to TurboTax's question that asks if the distribution was from an inherited IRA. If it has code 1, 2 or 7 in box 7, the distribution is from your own IRA, not from an IRA that is still an inherited IRA, so you would answer No to TurboTas's question..
"Did not rollover into my IRA...title now listed as my name R/O IRA VFTC as custodian."
The title suggests that you did roll the inherited IRA over to an IRA of your own and that the account is not an inherited IRA. There is no limit to the number of traditional IRAs that an individual can have but for tax purposes they are treated as if they were all combined into a single IRA.
If Form 1099-R for a distribution from this Rollover IRA has code 4 in box 7, the distribution is from an inherited IRA and you would answer Yes to TurboTax's question that asks if the distribution was from an inherited IRA. If it has code 1, 2 or 7 in box 7, the distribution is from your own IRA, not from an IRA that is still an inherited IRA, so you would answer No to TurboTas's question..
If you spouse had a basis in IRA, and it is no longer inherited, add that amount to your own basis.
Thank you so much for your reply. Made me look more closely at the 1099-R I received. The recipient is listed as PTC CUST IRA FBO (Private Trust Company Custodian for the Benefit of) and then my name. Box 7 has code 7. I have my own IRA but did not roll my husband's IRA into that one and have kept them separate. I believe his IRA just retitled it in my name and I assume this is now considered my own IRA and not an inherited one.
I appreciate your response. Has cleared this up.
Thanks