Indirect Rollovers

lama5787 — Mon, 07 Apr 2025 23:53:28 GMT

I followed instructions found on this forum to the best of my ability for entering an indirect rollover. This is my situation. In December I inadvertently took excess out for my RMD. As soon as I realized my mistake, I called and was told I could do an indirect rollover, which I did. The inssue I'm having is some of the money on the 1099 went to the RMD and some went back into the IRA. I indicated that in Turbo Tax, but when I was reviewing it came up with a 5329-S form, which sounds to me like it is meant to take more taxes out. Can someone please tell me what I've done wrong and how I can fix it.
$14,876.53 was taken out. My required RMD was $8,011.12. The $8,011.12 went to take care of the RMD and the excess $6,817.74 was rolled back into my IRA as an indirect rollover. All of it was taxed, but in order to retrieve the taxes from the $6,817.74, I was told I had to report it on my taxes. I will be really greatful if someone can explain why the form 5329-S is coming up.

Re: Indirect Rollovers

DanaB27 — Tue, 08 Apr 2025 13:16:31 GMT

Please follow these steps:

Click on "Search" on the top right and type “1099-R”
Click on “Jump to 1099-R” and enter your 1099-R
On the "Required Minimum Distribution" screen enter RMD for this account ($8,011.12)
On the "How much of This Distribution Applied to your December 31, 2024 RMD" select "Some of this distribution…" and enter the RMD amount ($8,011.12)
On the “What Did You Do With The Money” and choose “I moved it to another retirement account”
Then choose “I did a combination of rolling over, converting, or cashing out money.” and enter the returned amount of $6,817.74 next to "Amount rolled over to another (or back to the same) retirement account"
On the "Your 1099-R Entries" screen click "Continue"
On the "Did You Miss a Required Distribution From Any Retirement Accounts?" screen select "None of these plans failed to withdraw the RMD" if you met all of your RMD for 2024.

If you are still having issues then you might have to only enter full $ amounts without the cents.

topic Re: Indirect Rollovers in Retirement tax questions

Indirect Rollovers

Re: Indirect Rollovers