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I think I see a problem!

 

I will assume that your IRA contribution was either non-deductible or you have other "basis" in the IRA that requires a 8606 form.

 

There is an interaction between the 8606 and the 8915-E forms.    The 8915-E must have the 8606 line 15b value in order to compute the tax, otherwise it reverts to the 8606 line 15a value that can be a very large number. 

 

The 8606 line 15b is a *USER* entered part of line 15s that is COVID related.

 

The interview has no questions asking you to enter that amount.    However, the missing entry on the 8606 is flagged as an error so when the federal error check is run, it finds the error and asks for the amount.   I just entered the amount that was taken as the COVID distribution and the tax dropped to zero.

 

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**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**