in 2020 I took an early distribution of my 2018 contribution to a non-deductible IRA. My 2020 1099-R has the same dollar amount in both box 1 and box 2a. Box 2b has Taxable amount not determined checked. The distribution code in box 7 is 1. When I enter this information into TurboTax I am charged tax on the full amount, since this was money from a non-deductible IRA I already paid taxes on it and I shouldn't need to pay taxes a second time, I should only need take an early withdrawal penalty.
I am not sure how to fill this out in TurboTax premier. I don't see an option to mark the withdraw as being from a non deductible IRA.
I also took an early destruction of my 2019 contributions to a non-deductible IRA, My 2020 1099-R had code 1P in box 7 so this had no effect on my 2020 taxes, I just need to amend my 2019 taxes. Would the early withdraw of 2018 money be the same thing where it doesn't effect my 2020 taxes but I need to amend my 2018 taxes? Also do I need I need to update my form 8606's for 2018 and 2019?
