topic Received an 1099-R through Probate in Retirement tax questions

Received an 1099-R through Probate

bubba253 — Sun, 07 Feb 2021 15:36:24 GMT

At the end of 2019, my sister-in-law passed away. As part of the Probate, my wife received a 1099-R for the money assigned to her, which includes 401K, IRA, and Cash. We have not taken or dispersed any of the money, stocks, funds. Should we enter the 1099-R in our Federal taxes? How can we enter it into the form? Will we have to pay taxes on it in 2020? Or only we we move the money?

Re: Received an 1099-R through Probate

fanfare — Sun, 07 Feb 2021 16:05:39 GMT

Ordinarily you would not get a 1099-R if you did nothing.

You need to find out what's going on.

You might have an Inherited IRA.

You must take distributions from an inherited IRA on a specified schedule.

Yes, if you get a 1099-R you pay tax on the taxable amount shown there.