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Get your taxes done using TurboTax
1. Yes, the earnings are taxable when converting to Roth IRA on your 2022 tax return. You can see the calculation on Form 8606 part I and part II. The taxable part on line 18 will be entered on Form 1040 line 4b.
2. Did you make a traditional IRA contribution for 2022? Did you have earned income to make the contribution? Please do not enter the recharacterization of the 2021 contribution on your 2022 tax return. You entered that already on your 2021 return. All you need to do is to make the entries in the retirement section (Form 1099-R for the conversion) and make sure you enter your basis from line 14 of your 2021 Form 8606 when TurboTax asks (in step 7).
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March 3, 2023
9:42 AM