Missed RMD | Ed Slott and Company, LLC

Missed RMD

I'm confused. I the 2018 RMD was missed in 2018 and then paid in 2019 when the oversight was discovered, what tax year's return is the 2018 missed income reported on - 2018 or 2019? I assume that the request for waiver of penalty would be accomplished on the year that the Form 5329 is filed with the tax return?

Thanks.

Any RMD distribution is taxable in the year distributed consistent with the 1099R. In this example, 2019 would include the taxable income of both the 2018 and 2019 RMDs. The 5329 to request the penalty waiver would be a 2018 form included with the 2018 return if possible. However, if 2018 happened to be the first RMD distribution year and therefore that RMD was not late until 4/1/2019, the penalty waiver in that case would be on a 2019 5329.

 

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