RMD 1099-R

Forum|Forum|3 years ago
January 28, 2023
2 replies
6 views

My 1099-R form indicates Taxable Amount not determined. I have a total RMD that is Qualified as not taxable. Turbo Tax requires I change the tax form to indicate it is all taxable. There is an entry later showing it is qualified in turbo, but I had to argue with the IRS to get them to recognize this was not deductible. What should I do?

TurboTax Home & Biz Windows

Mike9241

Level 15

why do you think it's nontaxable? generally, an RMD is fully taxable unless you have a tax basis in it or you made a direct contribution to a qualified charity (QCD). many times box 2 is left blank solely because the Trustee doesn't know whether you treated the contributions as non-deductible or deductible. if you took the non-deductible option there should be form 8606 which will reflect your tax basis from which Tyrbotax will compute the taxable and non-taxable portions. the only other exception i could think of is a distribution from an inherited Roth IRA.

Mike9241

Mikes2023Author

Level 2

Thank you for your reply. it was a direct deposit to my Church and is a Qualified RMD. The 1099-R had the x in box 2b but I have the details. The reason I am concerned is that last year the same thing happened and in small letters on my Federal Return, TurboTax put QCD but the IRS ignored. and I had to complete several forms and wait until September to get my refund. this year I notice that TT has a separate question dealing with it, so I guess it will go through correctly. Anyway, I had to put the total in as taxable to complete my return. If there is another method, please advise. Otherwise, I will just have to wait to see what the IRS does.