A supposedly nonmagnetic 5d^{1} double perovskite oxide is investigated by a combination of spectroscopic and theoretical methods, namely, resonant inelastic x-ray scattering, x-ray absorption spectroscopy, magnetic circular dichroism, and multiplet ligand-field calculations. We found that the large spin-orbit coupling admixes the 5d t_{2g} and e_{g} orbitals, covalency raises the 5d population well above the nominal value, and the local symmetry is lower than O_{h}. The obtained electronic interactions account for the finite magnetic moment of Os in this compound and, in general, of 5d^{1} ions. Our results provide direct evidence of elusive Jahn-Teller distortions, hinting at a strong electron-lattice coupling.