IRA distribution

14 replies
82 views

I took a 2020 RMD in late January 2020 of $22,000 and with the CARES act I repaid the funds in April (new IRS guidelines extended the 60 day rollover period to August 31, 2020)

Problem is the mutual fund company just sent me the 1099R showing gross and taxable boxes of the $22,000 and coded R

How do I handle in pro series so this is not picked up as income

Thanks

David

ProSeries Professional

This topic has been closed for replies.

Just-Lisa-Now-

Intuit Community Champion

Im not sure if R is the correct code or not, butwhen I enter this into Proseries with 22k in boxes 1 and 2a with a Code R, I dont see it show up as taxable.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

B

Bsch4477

Level 5

Even if your distribution code was 7 you can avoid the amount being taxed by clicking “this was not a RMD”. Then report the amount as a roll over.

Y

ydaleu

Level 3

You have to file Form 5498 to show to the IRS the amount of Rollover contribution

qbteachmt

Level 15

This would be incorrect: "You have to file Form 5498 to show to the IRS the amount of Rollover contribution"

Let's review:

A 1099-R is issued to the IRA Account owner by the brokerage or agency where the account resides and reflects money out activity for that year.

A 5498 is issued to the IRA Account owner by the brokerage or agency where the account resides and reflects money in activity for the year.

The tax payer issues neither form. The tax preparer issues neither form. The Tax Return will include form 8606 when specific circumstances apply.

This would be considered a rollover, and not an RMD, and as long as there was no withholding or you "put back" the same amount as was taken even if there was withholding, and met the other requirement(s), then that would be a nontaxable event.

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