I am preparing a married filing jointly return where I try to report two backdoor conversions. Mine (which I have been doing for years) looks correct. My wive's conversion, which should be simple (first time non-deductible contribution, no history, no contributions for previous year) causes issues. It keeps showing taxable amount in form 8606 regardless of what I do. What's even weirder, the taxable amount is half the contribution amount.
Here is what I see on my wive's 8606:
1: Nondeductible contributions: 7000
2: Total basis: 0
3: 1+2: 7000
4: 2025 Contributions in 2026: Empty
5: 7000
6-12: Empty
13: nontaxable portion: 3500
When I do the math manually line 13 should be 7000.
Eventually this is used in 1040 and I see the following:
4a IRA distributions: 14000
4b Taxable amount 3500
Can someone take a look at this? The token number is: 1343902
