Is beneficiary payment received from deceased mother's beneficiary retirement account taxable? If taxes were paid prior to distribution are they deductible or returnable?

[jle_noyes]

I received $31+ K from deceased mother's Beneficiary Retirement Account. Federal withholding for $4227.90was taken out.  Is this money taxable? If not taxable, Can I deduct the tax paid or get it back?

[Critter]

Yes it is taxable and will be added to your other income. You also get credit for the taxes that were withheld on the 1099-R to balance off the increased taxes this will generate. 

When you get the 1099-R from your plan administrator you will enter that information under:

Federal (Personal in the H & B version)
Wages & Income
choose :  I'll choose what I work on
scroll down to :Retirement Plans and Social Security
on the: IRA, 401k, Pension Plans, 1099-R line, click Start or update
then follow the interview questions

Do not try to enter the information before you get the 1099-R because you will not have all of the information that you need.