This is super helpful and concurs with my thinking, that I shouldn't be taxed on the conversion. There was no lag, no gains, prior to transfer from my Traditional IRA to my Roth IRA. However, Turbo Tax showed $4K extra in taxes (Federal/State). Therefore my assumption that the software has a glitch/error. I communicated this with a Turbo Tax agent, who stated they would call me back to discuss, but I never received a return phonecall. They tried to get me to pay extra for getting personal help from Turbo Tax, but my taxes this year aren't so complicated and on principal, I don't want to pay extra for resolving a Turbo Tax software error. Honestly, Turbo Tax should pay me for helping troubleshoot this for them! (assuming the software indeed has an issue - I'm not 100% certain, but no one from Turbo Tax has confirmed either way yet)
