Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Mar 4, 2021 1:11:31 PM

RMD and liquidated IRA

Liquidated IRA in 2020 - turbo tax is asking what portion is RMD - RMD was not required due to CareAct.  RMD was taken in 2019.  How do I calculate a RMD for 2020??

0 2 328
2 Replies
Level 15
Mar 4, 2021 1:13:01 PM

Since there is no RMD required for 2020, after you enter the 1099R say it was NOT an RMD and then that you rolled it over (even if back into the same account). Was any withholding taken out? If it was then did you replace the withholding with your own money? Otherwise the withholding will be a taxable distribution itself. You will get credit for the withholding taken out on 1040 line 25b.


If you already entered the 1099-R as RMD and changing your answer to the RMD question doesn't work then you have to delete and renter the 1099-R form.

Level 15
Mar 4, 2021 1:56:55 PM

OP did not do a Rollover,

so the entire amount is taxed, with a penalty if taken before age 59 1/2.