Client held assets in former employer's 401k and in 2019 he rolled the full 401k value to his inactive SEP-IRA. Also in 2019 he turned age 70.5. The 401k recordkeeper did not process his age 70.5 RMD before sending the rollover to his SEP-IRA.
I understand the above circumstances may have created a tax problem because the RMD could be considered rolled over into his SEP-IRA with an excess SEP-IRA contribution.
The client does have 2019 self-employment income so he could make a SEP-IRA contribution to activate it if that could help.
Can anyone suggest how to repair this situation? Maybe it helps that 2019 isn't yet over?