Hi folks, earlier this year, I realized I had been incorrectly making NON_DEDUCTIBLE contributions to a TRADITIONAL IRA with no earned income. I’ve searched the forum, and nothing quite fits my situation (most deal with ROTH IRAS, recharacterizations, and/or deductible contributions).
Here are some facts and comments for your consideration:
i). Excess Non-Deductible contribution made in Jan 2022.
ii). 2022 taxes filed in April 2023
iii). Excess contribution returned (minus loss) in June 2023 (no gains).
My assumed procedure for this situation for filing an amended return by October extended deadline is as follows:
Prepare and file Amended 8086 form to show $0 non-deductible contribution and IRA corrected basis with 1040X.
“Filed pursuant to section 301.9100-2” will need to be shown at the top of form 1040x (I don’t know if Turbotax allows this type of annotation).
No 5329 is required in this situation because the extended deadline hasn’t passed and no 5329 was filed in April 2023 as it wasn’t needed (non-deductible contribution was shown on the original 8086).
