Was RMD waived for 2020?

[npierson7]

Yes, the CARES Act waives RMDs in calendar year 2020. It also applies to those who:

• Delayed their 2019 RMD until April 1, 2020 – that RMD is not required to be taken

• Have an RMD due by December 31, 2020 – that RMD is not required to be taken

• Use the five-year rule to deplete an Inherited IRA – 2020 is not counted in the five years,    essentially providing 6 years to deplete the account.

If an IRA owner already took an RMD in 2020, they may roll it back into an IRA within 60 days of receiving the distribution. (Future IRS guidance on the RMD waiver could possibly extend the 60-day deadline.)

[slowgoat2020]

Thanks for the info. My RMD was waived and I recieved no 1099-R.  I entered no 1099-R information, but it's still asking me to provide figures on Form 5329-S part IX line 52/53.  Or I can continue on.  This makes me think I didn't enter the RMD information correctly.   Any advise?

[SamS1]

You can try deleting the form in TurboTax then see if it clears.  TurboTax is looking for an RMD and is not seeing it.  Not seeing the RMD, TurboTax is trying to compute the RMD penalty on the 5329.   While in your return in TurboTax:

• In the left hand column select "Tax Tools"
• Select "Tools"
• Select "Delete a form"
• Review forms listing for "5329""
• Delete selected form then "Back"
• Run your Federal review again.
• Print your return and review amounts.

If that does not work, then you may need to delete any 1099R that populated in 2020 from 2019.  

[slowgoat2020]

Thanks for your help, I think that will work.   

[2020lb]

I have a similar situation. I have a 1099R for an IRA withdrawal taken in 2020. It was for less than the full RMD, and it was not redeposited. When Turbotax asks, "Was this withdrawal an RMD for 2020?," should I respond Yes or No? And if Turbotax generates a form 5329, should I delete the form?

[SamS1]

Respond No.  If the 5329 penalty pops up, delete it.  Were you younger than 72 in 2020?   TurboTax presently has a bug the prevents it from asking the necessary question for those with birthdates between July 1, 1949 and June 30, 1950. Another option for this, with TurboTax you can temporarily change your birthdate in My Info to something before July 1, 1949, edit the 1099-R form in TurboTax and RMD screens, then change your birthdate back.  You would need to delete the 1099R, make the birthday change, then re-add the 1099R.  This should also clear you through the RMD screens.  
.

[2020lb]

Thanks for your help. With your suggestion, it now passes the Federal Review. I was older than 72 in 2020, so the age bug is not an issue. 

[Glenn89]

Why didn't Turbotax have the waive programed into Turbotax for 2020?   I spent two hours search for any RMD forms that were mailed to me.   Of course there were not any for this Calendar year 2020.   

[SweetieJean]

Not all RMD's were waived, so TT still asks you the question.