Hi @DanaB27
Thank you
The value entered under "Deduction & Credits" is different than the value entered under Wages & Income.
Yes, in the "Deduction & Credit" section you will have $1,000 as value.
Yes, in the "Wages & Income" section, you will enter $0 for the value.
Geez, now I know why I am having such a hard time with TurboTax, these questions are slightly misleading. Irrespective of TurboTax, in general tax talk, does the “year end value of IRA” VALUE include:
- actual dollar amount end of year balance in IRA account
- any contributions in 2021 for 2020
- does this VALUE also include any outstanding rollovers?
I think this is where I’m confused, for example, on our IRA WORKSHEET for all calculations in TurboTax document:
Line 2 it says year end value for 2020:
- Mine only says $1000 (I had an outstanding recharacterization of $1000 + a $1000 contribution in 2021 for 2020)
- However my wife says $2500, which HAS to be her outstanding recharacterization in 2021 (she did not contribute anything directly to traditional in 2021 for 2020)
- is this a government form or simply TurboTax calculation form?
So why isn’t my line 2 on the worksheet $2000? Why doesn’t it include both recharacterization + contribution the following year?
If the value doesn’t include recjaracterizations shouldn’t my wife’s be $0?
I hope this makes sense, I just want to make sure I’m understanding it this time. Thank you!!!
