I have a 1099-R from an inherited IRA. But the RMD was given to charity. How can I show this in Turbo Tax?

[DavidD66 · Accepted solution]

To report a qualified charitable contribution your Form 1099-R must have code 7 in box 7 (an inherited IRA will have a code 4 in box 7), and the IRA/Simple box must be checked.  In addition, you must be at least age 70 1/2 (according to the date of birth in TurboTax) at the end of the tax year.  As you enter your 1099-R, you will be asked any of your distribution was transferred to charity.  If you answer yes, the next screen will ask how much you transferred to charity. The next screen will let you know that the amount you transferred to charity is designated as a QCD (if you qualify for a QCD). This is the only place that you will actually see QCD mentioned.

[slmullin99]

How can you get back to the pop up question on turbo tax?  It popped up the first time but then I updated some info and it didn’t come up again. 

[DaveF1006]

Here's the progression of steps that should occur after entering your 1099 R.

1. If Box 7 has a distribution code of 4, after you enter your 1099R, there will be a screen that asks if you inherited the IRA. If you said yes, you will then give information about who you inherited it from.
2. The it asks if you made non-deductible contributions.
3. Then asks if it is a 403 B plan.
4. Then a key question, how much was your RMD requirement for the year.
5. Then it asks, how much was the distribution ‌applied to the RMD.
6. Then either the next screen or the screen that follows will ask if you transferred this to charity. 

[tpaull]

I follow all of these instructions (1 to 5) but I never get a screen asking if the RMD was given to charity (6). It goes back to the summary.

[DanaB27]

Are you using TurboTax Online? If yes, then you need to select "I transferred all or part of this money directly to charity" on the "Do any of these situations apply to you?" screen.

Please note you must be 70 1/2 or older to make a QCD and get this option in TurboTax.

@tpaull 

[tpaull]

Why must I be 70 years old? It is an inherited IRA and the RMD is required every year.

[fanfare]

The distribution code on an Inherited IRA is not going to be "7"

It will be "4".

@DanaB27 

[tpaull]

OK, nevermind - thanks.