Q&A of the Week - June 24, 2020

I recommend that you amend your 2019 tax return. The amount from the 1099R should be reported on line 4a. Line 4b will be $0. In the explanation section of the amended return, explain what happened with the following suggested language: "The 1099R was inadvertently not reported on the originally filed return. None of the 2019 IRA distribution is taxable. There is no change in the 2019 tax liability." 

You do not need to amend the Ohio return. If you receive a notice from the IRS before the amended return is processed, respond to the notice and include a copy of the amended return you filed. 

Moving forward, please make certain you take out the required minimum distribution of the inherited IRA. The CARES Act, allows beneficiaries to skip mandatory IRA withdrawals. For more information: https://www.cnbc.com/2020/03/30/inherited-an-ira-you-can-skip-your-distribution-for-2020.html.