Why does turbo tax require $1003 additional RMD?

user17742054826 — Fri, 10 Apr 2026 14:22:20 GMT

Re: Why does turbo tax require $1003 additional RMD?

ReneV4 — Sat, 11 Apr 2026 23:02:08 GMT

The RMD calculation in TurboTax is based on your answers to the interview questions, not your actual bank records. If TurboTax is showing a penalty you don't owe, deleting the forms and starting fresh is the most reliable fix.

First, delete the original Form 1099-R and Form 5329:

Go to Tax Tools on the right hand panel inside of TurboTax
Click on the down arrow and scroll down to Tools
Click on Tools and select Delete a form from the menu items that appear in the Tool Center
Click on the trash can icon to the right of Form 1099-R and Form 5329

Now, click back on Income in the Federal section to return to input the Form 1099-R information again:

Go to Wages & Income on the left panel within your TurboTax account
Scroll down to Retirement Plans and Social Security and click on the down arrow to the right
Click Start to the right of IRA, 401(k), Pension Plan Withdrawals (1099-R)
Click the Yes box when you see, "Did you get a 1099-R...?"
Click the "Enter a different way" box
Click the "Type it in myself" box
Click on the box that pertains to your type of 1099-R (typically the first box), Continue
Next, you will see, "Enter your 1099-R provider's info", complete that, then Continue
Next, you will see "Enter your 1099-R details from _". Enter the information from the original Form 1099-R that you received
Ensure the details from your Form 1099-R are correct checking for which Distribution Code was used in Box 7 (or review if imported), then Continue
Continue through until you reach, "Let's get more information about your Required Minimum Distribution (RMD)", enter your RMD due by December 31
Note: Only enter the portion of your RMD that was satisfied by this specific 1099-R. Do not enter your grand total RMD for the year on every 1099-R screen. If you have two 1099-Rs, the RMD amounts you enter for each should add up to your total requirement, not repeat it
Next, you are asked, "How much of this distribution applied to your December 31 RMD?"
If you select "Some", you will need to enter the amount of the distribution that applied to your RMD
You will reach "Review your 1099-R summary", press Continue (not the pencil) and additional questions will generate for you to answer
When you reach "Let's go over any required minimum distributions (RMD)", Continue (not the pencil)

The above steps should resolve the incorrect penalty calculation.

topic Why does turbo tax require $1003 additional RMD? in Retirement tax questions

Why does turbo tax require $1003 additional RMD?

Re: Why does turbo tax require $1003 additional RMD?