1099-R: Inherited IRA - Why is it being treated like a distribution?
On the 1099-R there is a box between boxes 7 and 8 called IRA/SEP/SIMPLE. If that box is checked the distribution is from an IRA, if the box is not checked the distribution is for something other than an IRA.
Go back to the place in TurboTax where you entered the form and make sure that the data entry for the IRA/SEP/SIMPLE box is the same in TurboTax is it is on your form.
- Go to Federal Taxes tab
- Select Wages & Income
- Scroll down to Retirement Plans and Social Security
- IRA, 401K, Pension Plans, 1099-R click Start or Update