Should the value of an Inherited IRA with no aftertax contributions be included in the total of all my traditional IRA's as of Dec 31, 2020 on form 8606 line 6?

lg171 · ‎March 5, 2021

macuser_22 · ‎March 5, 2021

No. Inherited IRA's must be kept separate from your own IRA, unless it was inherited from a spouse and you had it transferred to your own IRA, then it is no longer inherited.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

lg171 · ‎March 6, 2021

My question came up because I had a rmd from my inherited Ira as well as a non deductible contribution to my traditional IRA which had a basis. I believe I answered TurboTax incorrectly on at least one of the interview questions ,which led to it calculating and showing incorrectly not all of the Ira distribution from the inherited Ira was taxable.

Anyway after correction to the interview ,TurboTax no longer had any amount on form 8606 line 6 which resolved the issue and my questions .

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Should the value of an Inherited IRA with no aftertax contributions be included in the total of all my traditional IRA's as of Dec 31, 2020 on form 8606 line 6?