Solved

My wife and I both took distributions from our IRAs and repayed them during 2018. Turbotax wants me to pay a penalty on my "excess" contribution. How do I fix this?

Forum|Forum|7 years ago
June 4, 2019
1 reply
0 views

No text available

TurboTax Self Employed Online

Best answer by dmertz

These are rollovers, not new contributions. Enter the rollovers by entering the Forms 1099-R under Wages & Income -> Retirement Plans and Social Security -> IRA, 401(k), Pension Plan Withdrawals (1099-R) and in the questions that follow indicate that you moved the money to another retirement account (or returned it to the same account) and indicate the amount of each distribution that you rolled over back into the IRAs. Remove any entries you make with regard to this under Deductions & Credits -> Retirement and Investments -> Traditional and Roth IRA Contributions.

D

dmertzAnswer

Employee

These are rollovers, not new contributions. Enter the rollovers by entering the Forms 1099-R under Wages & Income -> Retirement Plans and Social Security -> IRA, 401(k), Pension Plan Withdrawals (1099-R) and in the questions that follow indicate that you moved the money to another retirement account (or returned it to the same account) and indicate the amount of each distribution that you rolled over back into the IRAs. Remove any entries you make with regard to this under Deductions & Credits -> Retirement and Investments -> Traditional and Roth IRA Contributions.

macuser_22

Employee

"...repayed them during 2018..." Hopefully within 60 day of the date of distribution, or it is not an eligible rollover and it still an excess contribution subject to penalty.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**