IRA RMD from inherited pension plan
Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
Announcements
TurboTax has you covered during Covid. Get the latest second stimulus info here.
cancel
Showing results for 
Search instead for 
Did you mean: 
Returning Member

IRA RMD from inherited pension plan

Pension plan inherited from spouse in 2019 and rolled over to a separate IRA in husbands name. Because living spouse (husband) was over 70 1/2, RMD was taken and taxes withheld and reported on 1099-R. Do I show this distribution (which was the RMD) as inherited and put in his own IRA account? Or as inherited and not put in his own IRA account? As the money was a RMD, it was put into a checking acct. It's hard to distinguish whether they are referring to the whole amount transferred, or just the RMD with taxes withheld.

3 Replies
Expert Alumni

IRA RMD from inherited pension plan

You would show this distribution (which was the RMD) as inherited and put in his own IRA account.  Although you must withdraw at least a minimum amount from your Inherited IRA assets each year, RMDs are generally based on your age rather than the age of the original IRA owner

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
Returning Member

IRA RMD from inherited pension plan

The distribution itself ($2,961.17,which was the RMD and reported on the 1099-R) was not put into an IRA, it was deposited to a checking acct. The entire amount rolled over ($74,000+), however, was rolled in to an IRA in the surviving spouses name. To me, it's not clear to which amount they are referring to when completing the 1099-R entry. To confuse matters more, the money was moved to an entirely different company. The previous company was a separate 1099-R entry with codes 4 and G.                    

Level 15

IRA RMD from inherited pension plan

TurboTax is asking the question in regard to the amount reported on the particular Form 1099-R that is currently being entered.  The 2019 RMD distributed to to the surviving spouse was ineligible for rollover and you have indicated that it was not rolled over.  It appears that this distribution was shown on a separate code 4 Form 1099-R (as it was required to be), so for this Form 1099-R indicate that all of this distribution was RMD and TurboTax will skip any questions asking what was done with the money.  The Form 1099-R with codes 4 and G is reporting the rollover of the entire remainder of the plan to the surviving spouse's own IRA, so none of the amount on this Form 1099-R was RMD.

Dynamic Ads
v
Privacy Settings