Missed 2015 Minimun Required Distribution
I forgot to take my 2015 IRA distributions due to major surgery, hospitalizations and medications which make my memory foggy. What would you suggest I do?
I forgot to take my 2015 IRA distributions due to major surgery, hospitalizations and medications which make my memory foggy. What would you suggest I do?
Permalink Submitted by Alan - IRA critic on Mon, 2016-04-04 20:25
You should take the late distribution now. It will be taxable in 2016. With your 2015 taxes you should file Form 5329 requesting a waiver of the penalty for reasonable cause. Your reason is good enough that the waiver should be near certain. If you have already filed 2015, send in a 1040X with the 5329.
Permalink Submitted by john walicki on Wed, 2016-04-13 20:21
A FREIND F MINE AND HIS WIFE FAILED TO TO TAKE THEIR RMD FOR 2015. THE AMOUNTS SHOUL;D HAVE BEEN ABOUT $4,000 & $2,000 RESPECTIVELY. FOR THE HUSBAND LINE 52 WAS $4,000,LINE 53 WAS -0-, LINE 54 WAS -0- & LINE 55 WAS ALSO -0-, TO THE LEFT OF LINE 54 WAS PRINTED RC 4,000.ON HIS WIFE’S FORM 5329 LINE 52 WAS $2,000, LINE 53 WAS -0-, LINE 54 WAS $2,000 AND LINE 55 WASA PENALTY OF $1,000. ON LINE 54 THE COMPUTER DID NOT PRINT “RC”. I HAVE NO IDEA WHY NOT? THE INSTRUCTIONS DID SAY THAT IF BOTH DID NOT TAKE THEIR 2015 DISTRIBUTION, THEN EACH MUST FILE FORM 5329. ANY HELP WOULD BE APPRECIATED. THANK YOU.
Permalink Submitted by Alan - IRA critic on Wed, 2016-04-13 21:23
Husband’s 5329 is correct, but wife’s is not for some reason. If filed like this, they need to submit a 1040X with wife’s 5329 revised to match husband’s method.