MDR, 2020

schnick — Mon, 08 Feb 2021 21:21:11 GMT

Took my MDR prior to IRS saying MRD's not required in 2020. The income taxes were paid, but the money returned to my 401K.

My 1099R shows the amount originally sent to IRS. Does Turbo Tax have an entry to show that money was returned from the IRS to my 401K account?

Re: MDR, 2020

DanaB27 — Mon, 08 Feb 2021 21:45:33 GMT

Yes, please follow these steps to enter your 1099-R and RMD rollover:

Login to your TurboTax Account
Click on the Search box on the top and type “1099-R”
Click on “Jump to 1099-R” and enter your 1099-R
Continue until "How much was a RMD?" and select "none"
Continue "Tell us if you moved the money through a rollover or conversion" and select "I rolled over some or all of it to an IRA or other retirement account within the time limits (normally 60 days)"
Continue answering the questions.

RMDs were waived for 2020. You must indicate to TurboTax that none of the distribution was RMD. If you already enter the 1099-R as RMD and changing your answer to the RMD question doesn't work then you have to delete and renter the 1099-R form.

Please be aware if you did not return the amount of tax withheld with other funds then that part is still taxable income. The withheld taxes are credited on line 25b on Form 1040.

You can verify your rollover entry by looking at your Form 1040 line 5:

Click on "Tax Tools" in the left menu
Click "Tools"
Click "View Tax Summary" in the Tool Center window
Click on "Preview my 1040" on the left

Re: MDR, 2020

schnick — Thu, 11 Feb 2021 21:02:01 GMT

Thank you. Followed your instructions. All is good with my tax return.

topic MDR, 2020 in Retirement tax questions

MDR, 2020

Re: MDR, 2020

Re: MDR, 2020