hpdkid
New Member

Roth IRA recharacterization

In March, 2019, I had to withdraw a 2018 Roth contribution of $6500 plus the earnings when TurboTax flagged it. I have 1099-R for it. I transferred the funds into an (empty) IRA account which had previously been converted to a Roth in 2018. Later in 2019, I transferred the funds back into the Roth account, but the value had declined to less than $6500. I have a 1099-R for it also. Now TurboTax is warning me that I should amend the 2018 return to  declare the earnings portion of the withdrawal and pay tax on it. Where exactly do I declare this amount? Do I call it miscellaneous income and use the  2019 1099-R as proof? Do I also need to pro-rate the taxable portion of the 2018 conversion by factoring in the (non-taxable) funds that got added in 2019?