2020 Covid second one third

Forum|Forum|4 years ago
May 5, 2022
2 replies
12 views

Retirement plan withdrawal for 2020.. one third 2020, one third 2021, one third 2022. Can client pick up the remaining amount in 2021 and get it over with? If so, do we have to over-ride the 8915-F? Thanks

ProSeries Professional

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dkh

Level 15

I don't have any source to prove it can't be done but I say no. There were two options - automatically do the three year spread or report all on 2020.

Jim-from-Ohio

Author

Intuit Community Champion

thanks!

qbteachmt

Level 15

The provision is for three-year spread, for disasters, and is not Special. Covid isn't any different.

The option to take it all at once was the Election. You could amend 2020 now, and report it all.

Don't yell at us; we're volunteers

dkh

Level 15

@qbteachmt what @Jim-from-Ohio is asking is if after doing 1/3 on 2020 can he report 2/3 on 2021 and nothing on 2022. It would be crazy to amend 2020 to report all the distribution...there would be penalties and interest to deal with.

qbteachmt

Level 15

"is if after doing 1/3 on 2020 can he report 2/3 on 2021 and nothing on 2022"

Yes, and this is not the first time it was asked. That's what I was replying to. There was never the option to spread it out; that is the Default for disaster distributions. The option was to report it all in one year. The way to report the remainder in year two is when the taxpayer taking the distribution has since died.

"No you can't. That election needed to be "timely filed"."

Oh, true; that ship has now passed.

Don't yell at us; we're volunteers

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