RMD 1099R - I have two of these from the same investment company. Do I combine them?

[DaveF1006 · Accepted solution]

No, you should not combine them. You should enter each 1099-R separately into TurboTax, exactly as they are written. 

While it seems more efficient to sum them up, doing so can actually trigger an IRS "mismatch" notice, especially if there is one aspect on a form that is different from the other.

[VolvoGirl]

Why did you get 2 1099R?  Did you ask them?  Is one for a IRA account and one for a 401k?  Are they both for the same year in the top right box?  What code is in box 7?    

[herbeez]

One 1099R was for an RMD to a charity. This one had a distribution code of Y7. The other was an RMD payment directly to me. This one has a distribution code of 7. By doing it twice will the system recognize the actual RMD amount which is slightly less than the two payments? Separately neither payment by itself exceeds the RMD amount.

[herbeez]

I entered the 1099Rs as instructed and then when I did the audit on form 5329, it showed that my RMD doubled! How do I correct this? Thanks.

[RogerD1]

As long as the total of the two distributions exceed your RMD amount, there won't be any penalty assessed.

TurboTax doesn't know your RMD requirement, so that information has to be input in the program by you.  As long as you know you have satisfied the RMD with your two distributions, you can just say the amount of the distribution in Box 1 of each of the 1099-R forms is equal to the amount of the RMD for that 1099-R entry.  Be sure to also check the box on the screen after you enter the RMD that states that the entire distribution applied to the RMD.  This will eliminate any penalty determination on Form 5329.