How to Report RMD on Your Tax Return: 1099-R, 1040, and State

To report a required minimum distribution on your tax return, take the gross amount from Box 1 of your Form 1099-R and enter it on line 4a of Form 1040 if it came from an IRA, or line 5a if it came from a pension, 401(k), 403(b), or similar employer plan. Then enter the taxable portion from Box 2a on line 4b or 5b. For most traditional accounts funded entirely with pre-tax money, those two numbers are the same and the entry is straightforward. The work gets harder when part of the distribution is not taxable, which is where most reporting mistakes happen.

Reading the 1099-R

Every payer that sent you an RMD is required to issue Form 1099-R by early February. A few boxes drive your return:

Box 1 is the gross distribution before withholding. It goes on line 4a or 5a of Form 1040.¹
Box 2a is the taxable amount. It goes on line 4b or 5b.¹
Box 2b, “taxable amount not determined,” is often checked on IRA distributions. When it is, Box 2a may be blank and you’re expected to compute the taxable portion yourself.¹
Box 4 is federal income tax withheld. That amount goes on line 25b of Form 1040, where it offsets your tax the same way W-2 withholding does.²
Box 7 carries the distribution code. Code 7 is a normal distribution (you’re at least 59½); Code 4 marks a distribution to a beneficiary after the owner’s death; Code Q is a qualified Roth distribution; Code T is a Roth distribution where the payer hasn’t confirmed the five-year period.¹

If you have several retirement accounts, you’ll receive several 1099-Rs. Each one gets reported on your return; you do not combine them into a single entry.

Where the Numbers Go on Form 1040

Form 1040 (and Form 1040-SR, available if you are 65 or older) has two pairs of lines for retirement income, and which pair you use depends on the source of the distribution.

IRA distributions, including traditional, SEP, and SIMPLE IRAs: Box 1 goes on line 4a; Box 2a goes on line 4b.³
Pensions, annuities, 401(k), 403(b), and other employer plan distributions: Box 1 goes on line 5a; Box 2a goes on line 5b.³

The amount on line 4b or 5b is what flows into your adjusted gross income and gets taxed at ordinary income rates. When the whole distribution is taxable, lines 4a and 4b (or 5a and 5b) simply show the same figure.⁴

Employer plan administrators usually calculate the taxable amount for you and fill in Box 2a. IRA custodians frequently do not, which is why the sections below matter.

When the Taxable Amount Is Lower Than the Gross

Nondeductible IRA Contributions

If you ever contributed to a traditional IRA without taking the deduction, you have basis in your IRA: money that was already taxed and should not be taxed again on the way out. The IRS does not let you withdraw the taxed dollars first. Every distribution is a proportional mix of taxable and nontaxable money across all your traditional IRAs combined.

You calculate the split on Form 8606. The form compares your total nondeductible contributions to the combined December 31 value of all your traditional IRAs. The resulting ratio determines the tax-free portion of your RMD. That nontaxable portion reduces the number on line 4b; line 4a still shows the full gross distribution.⁵

Keep every Form 8606 you have ever filed, together with the supporting 5498s and 1099-Rs, until you have withdrawn your entire IRA balance. Those records are the only proof of basis if the IRS questions the return.⁵

Qualified Charitable Distributions

A Qualified Charitable Distribution moves money directly from your IRA to an eligible charity. If you are at least 70½ when the distribution is made, up to $111,000 for 2026 can go this route.⁶ The amount counts toward your RMD but stays out of your taxable income, which lowers AGI rather than acting as an itemized deduction.⁷

On Form 1040, put the full distribution on line 4a. On line 4b, enter the taxable amount after subtracting the QCD, which may be zero if the whole RMD was a QCD. Check box 2 on line 4c to identify it as a Qualified Charitable Distribution. If the same IRA also holds nondeductible contributions, file Form 8606 alongside to work out the basis.⁷

A separate one-time election allows a QCD of up to $55,000 for 2026 to a split-interest entity such as a charitable remainder trust. If you make that election, check box 3 on line 4c and write “SIE” in the entry space.⁶

Inherited Roth IRA Distributions

Withdrawals from an inherited Roth IRA are usually tax-free. Contributions come out tax-free, and earnings are tax-free as long as the original owner met the five-year holding period.⁸ Expect Code Q or Code T in Box 7, sometimes with Code 4, and Box 2b typically checked with Box 2a blank.¹

Report the gross amount on line 4a and enter zero on line 4b. If the account is under five years old and earnings are taxable, calculate that portion and put it on line 4b instead.

Withholding and Rollovers

Any federal tax withheld shown in Box 4 flows to line 25b of Form 1040 as a payment against your total liability.²

The RMD portion of any distribution cannot be rolled over.⁹ If you withdrew more than the RMD, the excess can be rolled to another IRA or plan within 60 days, but the RMD itself has to stay outside the retirement system.¹⁰ When you report a partial rollover, put the full Box 1 amount on line 4a or 5a, put the taxable portion on line 4b or 5b, and check box 1 on line 4c to mark the rollover.¹¹

Reporting a Missed RMD

Missing an RMD, or taking less than required, triggers an excise tax of 25% on the shortfall. The rate drops to 10% if you correct the shortfall within two years by withdrawing the missed amount.⁹

Report the penalty on Form 5329, filed with your federal tax return for the year the RMD was missed.⁹ The excise tax from Form 5329 carries to Schedule 2 (Form 1040), line 8.¹²

If the miss was an honest mistake, you can ask the IRS to waive the penalty. Attach a letter to Form 5329 explaining the reasonable cause and show that you have already withdrawn the missed amount. Enter the penalty on Form 5329 but write “RC” next to the line and leave that amount off Schedule 2. If the IRS disagrees, they will bill you.⁹

Don’t Forget Your State Return

Most states with an income tax treat RMDs as ordinary taxable income, but the treatment varies. Some states exempt all retirement income, others offer partial deductions tied to age or account type, and a few have no income tax at all. Check your state’s department of revenue for the rules that apply before you file.

1
Internal Revenue Service. Instructions for Forms 1099-R and 5498 (2025)
2
Internal Revenue Service. 2025 Instructions for Form 1040
3
Internal Revenue Service. 2025 Form 1040 – U.S. Individual Income Tax Return
4
Internal Revenue Service. Publication 554 (2025), Tax Guide for Seniors
5
Internal Revenue Service. Instructions for Form 8606 (2025)
6
Internal Revenue Service. 2026 Amounts Relating to Retirement Plans and IRAs, as Adjusted for Changes in Cost-of-Living
7
Internal Revenue Service. Publication 590-B (2025), Distributions from Individual Retirement Arrangements (IRAs)
8
Internal Revenue Service. Retirement Topics – Beneficiary
9
Internal Revenue Service. Retirement Plan and IRA Required Minimum Distributions FAQs
10
Internal Revenue Service. Rollovers of Retirement Plan and IRA Distributions
11
Internal Revenue Service. 2025 Form 1040-SR – U.S. Income Tax Return for Seniors
12
Internal Revenue Service. Form 5329, Additional Taxes on Qualified Plans (Including IRAs) and Other Tax-Favored Accounts (2025)