Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
onealbob
Level 1

1099-R form for multiple recipients of QCD

I wrote checks from my IRA account to 7 charities. Not sure of how to document this. 

Does this qualify for QCD since I wrote the checks directly to the charity

 Separate 1099-R form for each charity?

 What about a Federal Information Worksheet? One per charity?

 Do I have to have each charities ID ?

2 Best answer

Accepted Solutions
macuser_22
Level 15

1099-R form for multiple recipients of QCD

Does the checking account draw directly on the IRA - an IRA checking account?

 

Personal checks are not a QCD, only direct payments from the IRA trustee to the charity qualifies.   A IRA checking account is a direct payment and would qualify.

 

You only enter the total QCD given in the 1099-R interview.   It is only reported on the 1040 form line 4 with "QCD" next to it.   You should have and retain receipts and acknowledgment form each charity in case the IRS wants it.

 

Qualified charitable distributions.

A qualified charitable distribution (QCD) generally is a nontaxable distribution made directly by the trustee of your IRA (other than a SEP or SIMPLE IRA) to an organization eligible to receive tax-deductible contributions. You must be at least age 70½ when the distribution was made. Also, you must have the same type of acknowledgment of your contribution that you would need to claim a deduction for a charitable contribution.

If you are 70 1/2 or older, the interview will ask if you took the RMD. After that it will ask if you make a charitable contribution. Answer yes and then enter the QCD amount.

NOTE: 2020 TurboTax presently has a bug the prevents it from asking the necessary question for those with birthdates between July 1, 1949 and June 30, 1950. As a workaround for this, with the CD/download version you can provide the QCD-amount information on the 1099-R in forms mode or in any version of TurboTax you can temporarily change your birthdate in TurboTax to something before July 1, 1949, edit the 1099-R form in TurboTax and answer the question asking how much was transferred to charity, then change your birthdate in TurboTax back to your actual birthdate.

The 1099-R box 1 amount will go in the 1040 form line 4b (taxable amount) minus the QCD amount and the total box 1 amount will go on line 4a with "QCD" next to it.

Enter a 1099-R here:

Federal Taxes,
Wages & Income
(I'll choose what I work on - if that screen comes up)
Retirement Plans & Social Security,
IRA, 401(k), Pension Plan Withdrawals (1099-R).

OR Use the "Tools" menu (if online version left side) and then "Search Topics" for "1099-R" which will take you to the same place.

Be sure to choose which spouse the 1099-R is for if this is a joint tax return.
Be sure to pick the correct 1099-R type: Standard 1099-R, CSA-1099-R, CSF-1099-R, RRB-1099-R.

[NOTE: When you get to the "Your 1099-R Entries" screen where you can add another 1099-R, use "continue" to keep going as there are additional interview questions after that screen in most cases. You can always return as shown above.]

 

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

View solution in original post

dmertz
Level 15

1099-R form for multiple recipients of QCD

If you are referring to an IRA with check-writing privileges and you wrote checks that resulted in the money going directly to the charity, yes, those would satisfy the requirement that the payment be paid by the IRA to the charity.   Of course to be a QCD you still have to meet all of the other requirements such as you being age 70½ on the date that you wrote the check and satisfying all of the normal requirements for any charitable contribution.  Keep in your personal tax records all of the details of each contribution in case the IRS ever asks for it.

 

Just enter the single Form 1099-R that you received into TurboTax and claim the total of the checks (not to exceed $100,000) as the amount of your QCD.

View solution in original post

4 Replies
macuser_22
Level 15

1099-R form for multiple recipients of QCD

Does the checking account draw directly on the IRA - an IRA checking account?

 

Personal checks are not a QCD, only direct payments from the IRA trustee to the charity qualifies.   A IRA checking account is a direct payment and would qualify.

 

You only enter the total QCD given in the 1099-R interview.   It is only reported on the 1040 form line 4 with "QCD" next to it.   You should have and retain receipts and acknowledgment form each charity in case the IRS wants it.

 

Qualified charitable distributions.

A qualified charitable distribution (QCD) generally is a nontaxable distribution made directly by the trustee of your IRA (other than a SEP or SIMPLE IRA) to an organization eligible to receive tax-deductible contributions. You must be at least age 70½ when the distribution was made. Also, you must have the same type of acknowledgment of your contribution that you would need to claim a deduction for a charitable contribution.

If you are 70 1/2 or older, the interview will ask if you took the RMD. After that it will ask if you make a charitable contribution. Answer yes and then enter the QCD amount.

NOTE: 2020 TurboTax presently has a bug the prevents it from asking the necessary question for those with birthdates between July 1, 1949 and June 30, 1950. As a workaround for this, with the CD/download version you can provide the QCD-amount information on the 1099-R in forms mode or in any version of TurboTax you can temporarily change your birthdate in TurboTax to something before July 1, 1949, edit the 1099-R form in TurboTax and answer the question asking how much was transferred to charity, then change your birthdate in TurboTax back to your actual birthdate.

The 1099-R box 1 amount will go in the 1040 form line 4b (taxable amount) minus the QCD amount and the total box 1 amount will go on line 4a with "QCD" next to it.

Enter a 1099-R here:

Federal Taxes,
Wages & Income
(I'll choose what I work on - if that screen comes up)
Retirement Plans & Social Security,
IRA, 401(k), Pension Plan Withdrawals (1099-R).

OR Use the "Tools" menu (if online version left side) and then "Search Topics" for "1099-R" which will take you to the same place.

Be sure to choose which spouse the 1099-R is for if this is a joint tax return.
Be sure to pick the correct 1099-R type: Standard 1099-R, CSA-1099-R, CSF-1099-R, RRB-1099-R.

[NOTE: When you get to the "Your 1099-R Entries" screen where you can add another 1099-R, use "continue" to keep going as there are additional interview questions after that screen in most cases. You can always return as shown above.]

 

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

View solution in original post

dmertz
Level 15

1099-R form for multiple recipients of QCD

If you are referring to an IRA with check-writing privileges and you wrote checks that resulted in the money going directly to the charity, yes, those would satisfy the requirement that the payment be paid by the IRA to the charity.   Of course to be a QCD you still have to meet all of the other requirements such as you being age 70½ on the date that you wrote the check and satisfying all of the normal requirements for any charitable contribution.  Keep in your personal tax records all of the details of each contribution in case the IRS ever asks for it.

 

Just enter the single Form 1099-R that you received into TurboTax and claim the total of the checks (not to exceed $100,000) as the amount of your QCD.

View solution in original post

onealbob
Level 1

1099-R form for multiple recipients of QCD

Yes , it was from an IRA checking account. I have a 1099-R that has the total distribution and that it was all given to charity and it is marked QCD on the 1040. My confusion was when Turbo tax asked me to add addresses to a couple of other blank 1099-R forms. I looked at the list of forms and saw that there were 4 additional 1099-R forms that wanted me to fill in addresses. I was thinking they wanted an address for each charity on a separate 1099-R form. 

Maybe I only need the one form and then list the charities in the explanation form with the QCD.

 

SamS1
Expert Alumni

1099-R form for multiple recipients of QCD

I would recommend starting by deleting the extra 1099Rs and starting fresh. 

  • Enter your 1099R from your IRA
  • On the Uncommon situations indicate this is a QCD
  • Indicate the entire amount is RMD
  • Enter how much was transferred to Charity
  • Indicate I did something else to the rollover question.

Review the information from macuser_22 above for instructions on updating the QCD for this transaction.

 

The pandemic has affected your taxes in many ways. Including reporting in TurboTax the amount of stimulus money you received. Click Here for more information on how the Pandemic affected your 2020  taxes.

Dynamic AdsDynamic Ads
Privacy Settings
v