NJ income Tax on RMD's from inherited IRAs

[shawna1997]

Hi, Doing 2019 income taxes using TurboTax Premier. In NJ state Income tax section I had RMD's from inherited IRAs. TurboTax wants the value of all IRAs as of 12/31/19.  Does that include ROTH amounts or only Traditional IRAs? Is that all IRAs using Federal form 8606, all IRAs including interest earned to date or only IRAs that the RMDs were withdrawn from? Thanks, 

[DaveF1006]

Form 8606 requires that you report ALL non-deductible contributions you made to an IRA.  this includes Roth as well as traditional IRA non-deductible contributions. Since the program is asking for a value rather than a basis, this would include earnings.. 

[shawna1997]

Thanks but in this instance maybe not quite the correct response. I've two buckets of IRA/ROTH amounts, one inherited from parent where RMD started, the other my own where RMD not started and I've tracked via Form 8606 for basis. So the RMD's for NJ taxes I would think should only include the total worth, basis and interest/earnings as of 12/31/19, of the bucket that the RMDs actually came from, meaning the inherited one.

[JohnB5677]

  ROTH IRAs are not included in RMD's. 

• If you have chosen to take the inherited IRA over your lifetime, that amount is subject to RMD. 
• If you turned 70 1/2 by December 2019 it will also include your personal IRA's.
• If you have not turned 70 1/2 you won't have to include it in your personal IRAs in RMD until you are 72.

[fanfare]

When you have an Inherited IRA with basis, you're in a scenario that TurboTax can't cope with.

You must follow the instructions for Form 8606 and compute the non-taxed part yourself, then fillout the form manually and file a paper return.

Meanwhile, the totals value of your IRAs and the total value of the IRAs you inherited are separate figures and must be kept separate.
Since you are not taking from your own IRAs, you would skip that section.

In other words, Turbotax can only track your basis, not the inherited basis.

[sansu]

I have the same question.

@shawna1997 @JohnB5677 - Was this confirmed that for NJ Income Tax, the value of all IRAs = inherited ROTH IRA + inherited traditional IRA amounts?