This case has been presented but another question has arisen so here is a review. A 5329 will be filed for 2015 by a Beneficiary who was unable to take decedent’s year of death distribution for 2015 because a check had been mailed to decedent, but the decedent passed away before receiving it and the Beneficiary intended to deposit the check into the decedent’s estate bank account once one was opened since decedent was alive when check was issued, but an estate was delayed in being opened for various reasons. The Beneficiary (who is now finally the appointed PR) had been trying to get Custodian to reissue the check to her so she could take the year of death 2015 RMD but in the meantime, the Custodian put a stop payment on the check and credited back the account and corrected the account’s 1099R to reflect this. Finally by the end of 2016, the account was transitioned to an inherited IRA and the Beneficiary took the decedent’s year of death 2015 RMD (and is now also current with her own 2016RMD).
The beneficiary is hoping to avoid having to do a 1040X for 2015 since the 5329 shouldn’t affect her 2015 return at all, so can the 2015 5329 (with explanatory letter) get mailed with her 2016 return or should it go separately, just accompanied by an explanatory letter ? Thank you again.