Reply To: Reporting redeposited 2020 RMD

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#14343
friendship7
Participant

I didn’t make myself clear. The money came from a regular IRA, a mutual fund at Fidelity. The $70k came out of the IRA in March 2020 and that part [there was still some left in the IRA] was assigned to the same mutual fund investment only was designated as now a ROTH IRA. At that point in time I had an investment in the one mutual fund, the amount remaining was still a regular IRA and the March break-out was the same fund only now was a ROTH. Then in May, I directed Fidelity to reverse things so that this ROTH “went away” and the funds went back into the same fund [the regular IRA] at the same place. The objective was to make like the March transaction never took place. The only thing that muddied the waters was that between the two transactions a dividend was paid – not a problem, though, because I can just account for it as a distributed dividend that I will pay tax on. So the remaining question is how to properly report what Fidelity is calling a taxable distribution that, in reality, was “un-done”. There should not be a taxable distribution on the $70k because it was put back into the regular IRA account.
Thanks again and thanks for your patience. I hope my story make sense now.