Yes - it came from the IRA balance entries I made in TurboTax. Because I reported 2024 year-end Traditional IRA balance of $4.
You noted that money remaining in my Trad IRA should not be taxable. I might be misunderstanding your point, but I do have $4 of taxable income from the conversion. Here's the full picture. What happened: contribute $7,000 to Trad IRA (zero existing basis), earn $4 of interest in Trad IRA, convert $7,000 from Trad IRA to Roth IRA. How I think it should be reported: $4 of taxable income for the year because of pro-rata rule ($4 / $7,004 * $7,000) and receive $4 of basis in my Trad IRA.
Is any of the above wrong?
