I have a small amount of non-taxable funds in my IRA. I have met all RMD requirements. When I enter the value of all my IRAs on Line 7 of Form 8606, the expected return amount goes down. I cannot understand why that would happen since the carryover of the basis entered on line 6 comes from the previous year taxes. My expected return goes down by about a third of the basis. I cannot understand why that happens. Thank you for any comment you may have to educate me.
