☰
✕
Sign In

Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 2
posted Mar 29, 2021 11:31:07 AM

IRA distribution used to create new Rollover IRA; How to indicate this on my tax return?

I took a check distribution from my primary Retirement IRA to rollover/create a second IRA. I know this is not the preferred approach for creating a new IRA. Does TT provide a way for me to declare this so it does not get treated as a normal taxable distribution?...

0 4 644
2 Best answers
Expert Alumni
Mar 29, 2021 11:47:40 AM

Please follow these steps to enter your 1099-R and RMD rollover in TurboTax Desktop:

  1. Open you return in TurboTax 
  2. Click on "Search" on the right top and type “1099-R” in the box
  3. Click on “Jump to 1099-R”
  4. Continue "What did you do with this money from this payer?" and select "I moved the money to another retirement account (or returned it to the same account" the select what applies to you.
  5. Continue answering the questions.

 

If it was a RMD distribution, RMDs were waived for 2020. You must indicate to TurboTax that none of the distribution was RMD. If you already enter the 1099-R as RMD and changing your answer to the RMD question doesn't work then you have to delete and renter the 1099-R form. 

Expert Alumni
Apr 3, 2021 8:30:26 AM

If box 2b is checked then 2a should be left blank.

4 Replies
Expert Alumni
Mar 29, 2021 11:47:40 AM

Please follow these steps to enter your 1099-R and RMD rollover in TurboTax Desktop:

  1. Open you return in TurboTax 
  2. Click on "Search" on the right top and type “1099-R” in the box
  3. Click on “Jump to 1099-R”
  4. Continue "What did you do with this money from this payer?" and select "I moved the money to another retirement account (or returned it to the same account" the select what applies to you.
  5. Continue answering the questions.

 

If it was a RMD distribution, RMDs were waived for 2020. You must indicate to TurboTax that none of the distribution was RMD. If you already enter the 1099-R as RMD and changing your answer to the RMD question doesn't work then you have to delete and renter the 1099-R form. 

Level 2
Apr 3, 2021 8:07:26 AM

I still have one remaining related problem.. In my 1099-R I have Box 2a Taxable Amount set to 0.00... Box checked for Taxable amount unknown ( or not calculated, I forget).. Turbotax considers this still incorrect... Should I set Box 2a to the full dist amount and hope that my answers to the questions have the desired effect?

   Thanks... Richard

Expert Alumni
Apr 3, 2021 8:30:26 AM

If box 2b is checked then 2a should be left blank.

Level 15
Apr 3, 2021 8:37:24 AM

@rjtigheii wrote:

I still have one remaining related problem.. In my 1099-R I have Box 2a Taxable Amount set to 0.00... Box checked for Taxable amount unknown ( or not calculated, I forget).. Turbotax considers this still incorrect... Should I set Box 2a to the full dist amount and hope that my answers to the questions have the desired effect?

   Thanks... Richard

What code is in box 7?

Is the IRA/SEP/SIMPLE box checked?