You'll need to sign in or create an account to connect with an expert.
If the her bank sent a check made out to you personally, you have received a distribution from her IRA (which should have been reported to you on a code 4 Form 1099-R) that is not eligible for rollover and therefore not eligible to be deposited into an inherited IRA. The deposit of that check into an IRA constitutes a new regular contribution to an IRA owned by you, not an inherited IRA, despite the titling of the account, and is an excess contribution to the extent that you are not eligible to make the new regular contribution. Any excess contribution is subject to a 6% excess contribution penalty each year the excess remains in the account.
You may have a legal case against your mother's bank. It may be wise to seek legal counsel.
If the her bank sent a check made out to you personally, you have received a distribution from her IRA (which should have been reported to you on a code 4 Form 1099-R) that is not eligible for rollover and therefore not eligible to be deposited into an inherited IRA. The deposit of that check into an IRA constitutes a new regular contribution to an IRA owned by you, not an inherited IRA, despite the titling of the account, and is an excess contribution to the extent that you are not eligible to make the new regular contribution. Any excess contribution is subject to a 6% excess contribution penalty each year the excess remains in the account.
You may have a legal case against your mother's bank. It may be wise to seek legal counsel.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
Chris2335
New Member
hartski1
New Member
annmarriott1
New Member
tarheelrick
New Member
slandsend2
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.