where do I report bugs of Turbotax in calculating 2 IRAs?

Forum|Forum|1 year ago
January 23, 2025
2 replies
0 views

I withdrew from 2 IRAs, one less than RMD, and the other more than RMD, whereas sum of withdraws = sum of RMSs, but Turbotax keep saying I was under-withdraw and want to calculate the under-payment penalty....

Best answer by mglauner

If you withdrew your total Required RMD for 2024 between the two distributions, when entering the 1099-R for the account you under-withdrew, indicate in TurboTax that the distribution was 'all RMD' and that the RMD amount was the same amount as your withdrawal.

For example, you withdrew 5K but the RMD for that account is 6K, enter the RMD as being 5K, so as not to incur the penalty.

For the over-withdrawal, say you had a distribution of 10K, and the RMD for that account is 5K, enter that the RMD amount is 6K (5K plus 1K from under-withdrawal in other account).

Here's more info on IRS Requirements for RMD's.

mglaunerAnswer

For example, you withdrew 5K but the RMD for that account is 6K, enter the RMD as being 5K, so as not to incur the penalty.

For the over-withdrawal, say you had a distribution of 10K, and the RMD for that account is 5K, enter that the RMD amount is 6K (5K plus 1K from under-withdrawal in other account).

Here's more info on IRS Requirements for RMD's.