topic 1099R distribution from deceased person in Get your taxes done using TurboTax

1099R distribution from deceased person

Axis1967 — Mon, 09 Mar 2026 08:37:05 GMT

Received a 1099R Form due to distributions from the retirement account of the deceased person as a beneficiary of the estate. Should the taxable amount be reported on Turbo Tax if the amount of assets inherited from the deceased person are well below the Federal Estate Exemptions? If I input the 1099R amount into Turbo Tax, it increases my tax liability. Box #7 on the 1099R form has a Code of 4 (indicating distribution is related to a death benefit.

Re: 1099R distribution from deceased person

JohnB5677 — Wed, 09 Mar 2022 19:29:16 GMT

Yes, the 1099-R should be reported to the IRS.

Was the distribution to you as an individual, or to somewhere else?

Was it a total distribution?

Re: 1099R distribution from deceased person

Axis1967 — Wed, 09 Mar 2022 19:44:25 GMT

Distribution was made to me as the beneficiary of a death benefit from a retirement account. Do I have to pay tax since the deceased did not pay tax on pre-tax contributions from income or IRA contributions that reduced their taxable income while they were alive? So all IRA amounts distributed to beneficiaries are deemed as taxable income in the year distributed?

Re: 1099R distribution from deceased person

RaifH — Wed, 09 Mar 2022 19:51:02 GMT

Yes, there is no death benefit exclusion for payments from a decedent's retirement account. Please see the Inherited IRAs and Retirement Accounts section of this TurboTax article. Since the account is generally funded with untaxed money, the distributions are still taxed, even if it is the beneficiary who receives them.

The 1099-R for the distribution should have the information required to accurately report this on your taxes. The entire distribution might not be taxable if the decedent had any contributions with after-tax dollars. The code in Box 7 should be a 4.