uh oh this may ruin your Friday night but unfortunately that looks correct to me - if you have a pre-tax IRA balance, the Roth conversion is only non-taxable based on the ratio of your basis (the contribution) to the total IRA balance. So for 2025 your $6600 contribution is only $29 tax free, $6571 is taxable this year (i.e. this is coming from your pre-tax IRA money), and the remaining $6571 from your contribution is carried forward as basis for the lifetime of the IRA. Every distribution/conversion you do will kick out a portion of that basis as non-taxable for the life of the IRA balance.
I am not sure all the rules about reversing this, but tagging the resident experts...
@dmertz @mesquitebean @VolvoGirl @Mike9241 @DoninGA
