Rollover of RMD

[EF17]

I received about 40,000 as an RMD from a 401K in January  2020.  When the rules changed, I rolled over 32,000 into a new IRA because the money couldn't be returned  to the 401K (and I knew I would have to show the 8,000 as an RMD).  I paid taxes of about 10K to the IRS (plus what I payed my state).  The 1099r shows the full amount of the distribution.  How do I report this - do I use the 8,000 amount as the RMD?  I can't get a revised 1099R because the two entities are different. 

[MinhT1 · Accepted solution]

In TurboTax , you should indicate that you did a roll over for $32,000 of the 401(k) distribution.

Enter your form 1099-R by following these steps:

1. In TurboTax, open your tax return
2. Click on Federal in the left-hand column, then on Wages & Income on top of the screen
3. Scroll down to All Income, locate the section Retirement Plans and Social Security and click on Show more
4. Click Start next to IRAs, 401(k), Pension Plan Withdrawals (1099-R).

After entering your form 1099-R, click Continue until you reach the screen Tell us if you moved the money through a rollover or conversion. Check the radio button which corresponds to your situation then click Continue and follow the interview.

The $32,000 rollover will be excluded from taxation. You will pay tax on the balance of $8,000. The $10,000 tax withheld reported in box 4 of the form 1099-R will serve as a credit against your tax liability.

[EF17]

Thanks. 

[tft4559]

i have the same issue.  On the page entitled Tell us etc i entered the amount i returned as a rollover but turbotax is still taxing me on the full distribution.

[VolvoGirl]

Not sure which screen you are on.  

If you are looking at a summary screen or review screen those show the full amount as income and lump a lot of stuff together. You need to check the actual 1040 form and make sure it's right.

If you rolled it over it should say Rollover to the left of the taxable amount on 4b or 5b.