INHERITED IRA REPORTING SS NUMBER
My mother passed in 2021 before taking her RMD. I am the sole beneficiary. I informed the bank of my mother’s passing and my beneficiary status. I asked for 2 separate disbursements and wanted federal taxes withheld on both payments. The 1st disbursement was for my mother’s RMD for 2021. The 2nd disbursement closed the account. Both checks were in my name (not my mother’s or her estate). The 1099R issued by the bank has the total of the 2 disbursements listed as the gross distribution. The 1099R is my mother’s name and my mother’s SS number. I don’t believe this is correct and I don’t know how to fix it.
Permalink Submitted by Alan - IRA critic on Tue, 2022-02-22 00:06
The 1099R must be corrected by the IRA custodian to show you as the beneficiary payee and your SSN and must be reported on your return as you received the distributions. Looks like the bank had not updated all the records to conform to the check. If the bank refuses, you could probably use the nominee process to transfer the income from her final return to your return.