topic Does turbo-tax handle the following combination of two IRA 1099_R : One for a non_QCD and one for a QCD? in Retirement tax questions

Does turbo-tax handle the following combination of two IRA 1099_R : One for a non_QCD and one for a QCD?

jwoltkamp207 — Sat, 01 Jun 2019 03:20:19 GMT

( the non QCD( to be included n both form 8606 line 7 total and the form 1040 line 15a total. The Qcd to be excluded form the form 8606 line 7 total but included on the form 1040 line a5a total with
"QCD" entered before a5b.

Yes. In the follow-up to entering each Form 1099-R, Turb...

dmertz — Sat, 01 Jun 2019 03:20:21 GMT

Yes. In the follow-up to entering each Form 1099-R, TurboTax will ask if any amount of the distributions reported on that Form 1099-R was transferred to charity as a QCD.

Note that only otherwise taxable amounts can be reported as a QCD. The total QCD amount that you enter cannot be more than your December 31 IRA balance plus the amount of your distributions minus your nondeductible IRA contribution basis. If you transferred to charity more than the this, the amount beyond the QCD amount must be reported as a charitable contribution on Schedule A. In the 1099-R follow-up, if you tell TurboTax that more than the permissible QCD amount was transferred to charity, you'll miss out on the charitable deduction that you could have claimed on Schedule A.

After rereading section 408(b)(8)(D) of the tax code, I'v...

dmertz — Sat, 01 Jun 2019 03:20:23 GMT

After rereading section 408(b)(8)(D) of the tax code, I've revised my answer with regard to what would be incorrect reporting under certain circumstances.

I've made additional revisions. I think it's correct now.

dmertz — Sat, 01 Jun 2019 03:20:24 GMT

I've made additional revisions. I think it's correct now.