Hello, thank you for the info. I do need to file Form 8606 for tax year 2023, because I have another/different traditional IRA that I rolled over a portion of it to a Roth IRA (I also did this in year 2022). Here is what I have:
1099R for partial 401K distribution to a traditional IRA (my question of this post)
Box 1 gross distribution - $200,000 (out of total amount $250M in 401K)
Box 2a taxable amount - blank
Box 5 employee contributions (portion of my after-tax contribution?) - $400
Box 7 distribution code - G with IRA/SEP box unchecked
1099R (different event/account from the 1099R above) for partial traditional IRA (different IRA account from above) rollover to Roth
IRA distribution - $60,000 (To Roth - $57,500, Tax Withheld - $2,500)
Box 1 - $60,000
Box 7 - code G with IRA/SEP unchecked
I also had this type of rollover for tax year 2022, and TurboTax filled out Form 8606 Part II, line 16-18. There were no numbers on Part I.
For tax year 2023, looking at the Form 8606,
- I have one 1099R for 401K distribution to traditional IRA, which is a non-taxable event. However, since some of the 401K distribution amount was after-tax ($400), so I have to fill out Part I, because I have a "non-deductible IRA", which is the $400?
- I have another 1099R for partial conversion of another traditional IRA to Roth, so I have to fill out Part II.
- Is Part I supposed to also include the $ for the traditional IRA to Roth conversion? on Form 8606 line 3, it asks "in 2023, did you take a distribution from traditional IRA...or make a Roth IRA conversion?". And I did, although it is a different traditional IRA account from the one that I made the 401K distribution. It looks that Part I would include both (1) the 401K distribution to traditional IRA, and (2) the traditional IRA (different IRA account) conversion to Roth? And then the Roth conversion number ($60,000 - $2,500 tax withheld = $57,500?) would be transferred from a line (i.e., line 8?) to line 16 on Part II?
I have the window desktop version of TurboTax Premier, and I cannot find the "EasyGuide" button per your reply. So I used the step by step interview feature in TurboTax to enter the two 1099Rs. The interview questions did not ask me about after-tax 401 distribution or non-deductible IRA. After the 1099R input, I checked the printed format of Form 8606, there are nothing on Part I, and it only shows my conversion from traditional IRA to Roth on line 16-18.
No sure what I did wrong. Please advise. Thank you.
