How to complete Form 5329 lines 52a-53b for missed RMD correction?

So I screwed up last year and didn't withdraw my full Required Minimum Distribution (RMD) amount. I realized my mistake and withdrew the remaining amount in January this year, which should be within the correction window. But now I'm completely confused about how to fill out Form 5329 with these new line items. I see there's now an "a" and "b" for lines 52 and 53, and I'm trying to figure out what numbers go where: 1. For line 52a - should I enter the full RMD amount I was supposed to withdraw? Like if I needed to take out $13,500 from my IRA last year, do I put $13,500 on line 52a? 2. For line 52b - It says "from all other plans" - does this mean non-qualified plans since 52a is for qualified plans? I only have an inherited IRA and inherited Roth, which I think are qualified plans, so would this be zero? 3. For line 53a - I'm completely lost here. The old form asked for what you actually withdrew. Should I only enter what I withdrew last year? Or do I include the correction amount I took in January within the correction window? 4. For line 53b - Same confusion as 52b - is this for non-qualified plans only? Any help would be greatly appreciated! I'm trying to get this right and avoid penalties.

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20 comments

Justin Chang

The Form 5329 can definitely be confusing with the recent changes. I'll break this down for you: Line 52a is where you enter the RMD required from your traditional IRAs, including any inherited traditional IRAs. So yes, if your total RMD requirement was $13,500, that's what goes on line 52a. Line 52b is for RMDs from other types of retirement accounts like 401(k)s, 403(b)s, or 457 plans - not for non-qualified plans. Since you only mentioned inherited IRAs and Roth IRAs, this line would likely be zero unless you have other employer plans with RMD requirements. For line 53a, you should enter the total distributions you actually took from your traditional IRAs during the tax year - only what you withdrew last year, not including the correction you made in January this year. Line 53b would be distributions from those other types of accounts (401k, etc.). Again, likely zero based on what you've shared. The correction you made in January falls under the IRS's correction program, and you'll need to file Form 5329 with a statement attached explaining that you made the correction.

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Justin Chang

You're right that catching up within the correction window helps you avoid the penalty. When you file Form 5329, you'd fill out lines 52 and 53 as I described, which would calculate a shortfall on line 54. But then you can write "RC" (for reasonable cause) next to line 55 and enter zero as the penalty amount. The statement should be brief but clear - explain that you missed taking the full RMD for the tax year, but corrected it by taking the remaining distribution on [specific date] in January, which falls within the IRS correction program window. Include the exact amount of the corrective distribution and reference that you're requesting a waiver of the penalty under the correction program.

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Hunter Brighton

Yes, it provided a template statement that I could customize with my specific dates and dollar amounts. The template included all the necessary language about correcting within the window and requesting penalty relief. It was very accurate for my situation. What impressed me was that it specifically recognized the correction window rules and explained how they applied to my case. Unlike TurboTax, it walked me through the process of reporting both the missed RMD and the correction I made, including how to properly request the waiver. Their system seemed to be updated with the latest IRS guidance on these corrections.

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Lauren Wood

Just wanted to follow up on this thread. I decided to try taxr.ai after seeing it mentioned here and it was exactly what I needed. My situation was slightly different (I missed RMDs from both an inherited IRA and a 403b), but the system correctly identified how to allocate everything between lines 52a and 52b, and also explained how to report my January correction. The waiver statement template was accepted by the IRS without any issues. Saved me hours of frustration and possibly an expensive penalty!

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Ellie Lopez

If you need to talk to someone at the IRS about this (which might be a good idea given the complexity), I highly recommend using Claimyr (https://claimyr.com) to get through to an agent. I was on hold for HOURS trying to get clarification about my own RMD situation before I discovered this service. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c. I got through to an actual IRS agent in about 20 minutes who walked me through exactly how to complete Form 5329 in my situation.

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Ellie Lopez

It doesn't jump the queue in the way you might think. The service uses technology to wait on hold for you, then calls you back when an IRS agent picks up. So you're still "in line" but don't have to personally wait on hold for hours. I completely understand your skepticism - I've had that exact experience before. The difference this time was I came prepared with very specific questions about Form 5329 lines 52-53 and the correction program. The agent I spoke with was in the retirement accounts department and was knowledgeable about the RMD correction window. I took detailed notes and asked them to reference specific IRS publications to confirm their guidance. The information matched what my CPA had told me but with more specific details about how to complete the form.

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Paige Cantoni

I have to admit I was wrong about Claimyr. After posting my skeptical comment, I decided to try it since I was getting nowhere with my 5329 questions. Got connected to an IRS retirement specialist in about 30 minutes who confirmed exactly how to handle the correction window situation. The agent explained that I needed to complete Form 5329 showing the shortfall but could request a waiver by writing "RC" next to line 55 with a statement explaining the timely correction. Saved me from potentially paying a 25% penalty on money I did eventually withdraw. Still annoyed that the IRS forms and instructions aren't clearer about this!

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Giovanni Greco

Thanks for this detailed thread - it's been really helpful! I'm in a similar situation but with one additional complication. I missed my RMD from an inherited traditional IRA last year, but I also have a regular traditional IRA that I did take the correct RMD from. When filling out Form 5329, do I need to include the distributions from both IRAs on line 53a, or only report the one where I had the shortfall? And should the required amount on line 52a be the combined RMD requirement from both accounts, or just the amount I was supposed to take from the inherited IRA where I missed it? I've been going in circles trying to figure out if I report everything together or handle each account separately on the form.

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