IRA RMD

[GLee2]

I did not withdraw any funds from an IRA in FY 2021, there is likely a penalty.   But to calcuate it I got an oral amount statedt from the broker, no 1099R because funds were not withdrawn. How do I include this as part of my income.  Just fill in as much info as I can  in the income/payer informationsection or get a substitute 1099R and fill it in.

[MaryK4]

You do not have to enter any 1099-R information- based on your birthdate, TurboTax will ask you if you took your RMD.  When you say No, it will give advice and suggestions then ask you for the amounts your broker gave you to create the form and adds the penalty to your tax bill.  Because you did not take the money out, you do not pay tax on it yet, just the penalty.

[dmertz]

To avoid the 50% excess -accumulation penalty, you'll want to make the late distribution in 2022 and report it (along with your 2022 RMD that you'll also take in 2022) on your 2022 tax return.  If the 2021 RMD was truly late (because 2021 was not the first year that you were required to take an RMD), after receiving the late 2021 RMD you'll want to include Form 5329 Part IX with your 2021 tax return to request a waiver of the 50% excess-accumulation penalty.

[henry675]

I did my RMD late and want to use form 5329.

How do I do that with tubo Tax?

[fanfare]

@henry675 

Did you get any answer?

As I understand it, TurboTax does not handle this scenario very well.