Yes, you will need to add this inherited 1099-R to your income tax return and you should not be subject to any type of early withdrawal penalty related to withdrawals from an inherited IRA (see RMD requirement below).
Once you have signed
into your TurboTax Account (for TurboTax Online sign-in, click Here , then select "Take Me to My
Return"), type "1099-r distribution from an ira" in the search bar then select
"jump to 1099-r distribution from an ira".
Just report the 1099-R information into TurboTax and let the system guide you on entering this information.
Regarding RMD for an inherited IRA -
Depending on your beneficiary
designation (see screenshot), you will need to determine if you are receiving
your required minimum distribution (RMD). Contact the financial institution
responsible for the administration of this IRA and ask if you are getting your
RMD. There are also brokerage firms that have a beneficiary RMD calculators
available through the internet to help you determine if you are receiving
your correct RMD
Please click IRS
- Traditional IRA for more
information and the tables
