Question

TurboTax isn't interpreting my inherited ROTH IRA distribution correctly

Forum|Forum|4 years ago
April 12, 2022
1 reply
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I have a ROTH IRA I inherited from a trust. Because the oldest beneficiary is my 98-year-old mother, I need to withdraw about 25% of it per year. Taxes were paid on the money by my deceased uncle, so TurboTax should not be characterizing this as taxable income, but in both the Federal and State parts of the program, it is doing that. How can I tell Turbotax Federal and State (Massachusetts) not to tax this withdrawal?

I'm using the Desktop version of Turbotax for Windows. (Weirdly, I can't select Windows in the "Choose the Platform" box below).

Thank you!

David

D

dbookbinderAuthor

NOTE: I am able to put a 0 in the taxable amount box of the 1099-R, which eliminates the incorrect Federal tax on the amount, but I can't find a way to tell the Massachusetts part that this is a tax-free distribution.