My return was rejected due to FED_Taxable_Inherited_IRA but I did not inherit an IRA.

[Robert5753]

Same problem.  I did a Traditional to Roth conversion, no inherited IRAs.  

[tanvitiwari662]

Spoke on the phone with a TurboTax customer service agent, and for what it's worth, she verified it was a bug, they are fixing it by Friday 3/5, and they will be sending out a notification when the fix has been made.

[DennisG]

Same here.  Just spoke w. TT support--he was unable to provide any further details.  As per prior postings here, I do not have an Inherited IRA.

[aonorato35]

Thanks for update.  Just for everyone's info, another TT rep suggested that I delete my 1099R for a regular IRA and re input the data, then refile.   DOESN'T WORK. Within hrs I received another reject email so will wait for TT fix, if and when it comes.  Last resort will be file by mail.  So darn frustrating! Will seriously consider another software Company next year.

[PeggyG]

I spoke with a TT support person yesterday who suggested resubmitting the e-file, which I did. Same result in that it was rejected due to issues with an inherited IRA, which I don't have. She walked through it with me and confirmed that the 1099R was set up correctly.

Just for fun, I posted the issue on the TT Facebook Messenger page and was told

"After investigating this we have found no known issues causing this error and the best troubleshooting steps would be the steps above to further investigate this matter." "Steps above" was delete and reenter 1099R and refile. As noted elsewhere, that doesn't work. I asked why so many were reporting the problem if there are no known issues. No answer to that one. Very frustrating, for sure.

[aonorato35]

I tried refiling after deleting and then redoing my IRA 1099R in Turbo.  Simply got another reject within hrs.  Turbo needs to get their act together.  Most expensive software and simply causing the most stress this year.

[aonorato35]

I do recall.  They did restore the Schedule D on the CD deluxe version but if filing on online have to upgrade to Premier.  I had one very small stock transition in 2020 so had to upgrade and now this absurd IRA issue.  Enough stress with COVID etc.  We sure don't need this. 

[IF2]

Is TT sending out calls about this?  Just received a call from the TT contact number (did not answer . . . googled the number) and I am suffering from the issue but never contacted TT myself.  So weird.

[aonorato35]

Yeah.  Giving the refile option  prior to the proposed fix on 5 March confuses it even more .  If that fix doesn't work, we need to raise holy hell and raise it to another level, IRS.  Problem is getting to talk to someone in IRS.  One hell of a mess.

[KevinFC]

My return has been rejected twice for the same bizarre reason as I have never inherited an IRA. Like others, I did a Roth conversion in 2020. I spoke with 2 experts at TurboTax who went through my return with me and were just as perplexed as I am. I guess I’ll wait until TurboTax fixes the issue with inherited IRA’s tomorrow and try to e-file again. 

[tiutni]

I have both a traditional  IRA with a basis and an inherited IRA without a basis.  The inherited IRA distribution  keeps showing up on the Form 8606 for the traditional IRA.  This is WRONG.   TURBOTAX is having a big problem with both types of IRAs.  I am ready to file my return except for this problem.   Hope they fix it soon. Be sure to look at the Print version before you email your return to be sure it is accurate.  The fact that TT numbers did not agree with mine and I checked the print version is how I stumbled on the problem.

[KevinFC]

I tried to refile and got the same rejection message as before 🤨

[wastingTime]

Wonder whether anyone from TT actually reads this... or we are just wastingTime? 

[Alohart]

I'll add my name to the long list of TT users who have had their Federal returns rejected for this reason even though, like us, they didn't have an inherited IRA ☹️  Our return has been rejected several times for 3 different reasons, all of which seem to have been due to TT bugs.  As a result, I've spent considerable time wading through IRS instructions and comparing my 2020 returns with those from prior years trying to determine whether I've done something wrong.  I pay for TT to avoid doing this.  Meanwhile, I am unable to get our rather large refund.

I've been using TT for years and have never had a return rejected previously.  The quality of 2020 TT Premium seems to be pretty poor.

[KevinFC]

My State return was rejected at the same time as my Federal return TWICE! 🤨