If I enter 1099-R for inherited IRA and the RMD portion of distribution, why does TurboTax believe there is a difference requiring correction?

Forum|Forum|1 year ago
February 22, 2025
1 reply
0 views

The RMD amount is a portion of the total distribution, but TurboTax thinks the difference is the exact same RMD amount. I'm asked whether the remaining amount will be taken out during the correction window, but I don't think there IS a correction to be made.

RachelW33

There was recently a program update in the RMD section of TurboTax that should have resolved this issue.

Please review your 1099-R entries in TurboTax and complete all of the follow-up interview questions. Once you are done updating your 1099-R entries, click Continue and answer those follow-up questions.

If you’re still experiencing an issue, please post here so that we can assist you further.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

mike-mcsherryAuthor

Unfortunately I'm still seeing this problem. Here's the sequence of screens/info I went through, with dummy amounts to illustrate.

NOTE: It seems that TT is possibly tripped up comparing rounded versus actual numbers, possibly doing a string compare instead of an actual number? I tried entering the rounded number as the RMD to start, but that didn't seem to work either. See notes below in green on what I'm seeing.

Hopefully this helps isolate the issue:

First few screens and responses...

(x) Someone else who passed away Name: XXXX Year person passed away: 2020
(x) No, you didn't have any nondeductible IRA contributions

(x) XXXX was born before January 1, 1951

How much of the $XXXXX.XX was an RMD?

(x) Only part of this distribution was an RMD
RMD amount: $1234.56 <-- If I round this value, it appears to be recorded as $1235.00 when navigating back

Let's get more information about your Required Minimum Distribution (RMD)

From what you shared earlier, you received $1234.56. If your total RMD... Could you tell us what the required minimum distribution for your account was in 2024?

Required Minimum Distribution Amount $1234.56 <--- This is what I entered, but TT records $1235 (rounded, w/ no decimal places) if I navigate back to this screen... I think it's trying a comparison and finding "1235" is not equal to "1234.56", which then leads me to the next screen (which it should not).

Just a few more details about your RMD
It looks like the difference... for this account is $1235. This amount could be taxed...
remaining $1235 during the correction window.

Did you take out the remaining $1235 during the correction window?