Late receipt of RMD for 2008
My client didn’t take his RMD in 2008, realized and requested it early this year. Is there a way for him to claim this on his 2008 tax return, pay the applicable taxes? Then what would he do with the 1099R that shows a 2009 distribution? Thanks Roy
Permalink Submitted by mk foss on Fri, 2009-04-10 22:47
As a cash basis taxpayer, he must report the income in 2009.
On the 2008 return, he should attach Form 5329 and request a waiver of the 50% penalty. The explanation of why it was late must include the fact that he took the missing amount in 2009. The 50% penalty need not be paid with the return when a waiver is requested.