@MtnTABS wrote:
My 2020 traditional IRA 1099-R totals $125,000 in Boxes 1and 2a. It is ALL taxable. Can I split the 1099-R into two entries: $100,000 converted to a ROTH IRA and $25,000 as a regular distribution? The $25,000 does not show up on line 1040 4b as taxable no matter how many times I follow your step-by-step instructions. I made no nondeductible contributions, the IRA has no “ basis”, the $100,000 shows on Form 8606 Lines 16 and 18. I’ve never converted to a Roth until 2020; it is the only one I have. If I could make these into two separate entries I would think the $25,000 would finally land on 1040 Line 4b. It would also probably lower my $15,000 Federal tax refund! 🤣 (TurboTax Deluxe CD/Download Windows)
Yes you can, but but because you are doing 2 different things with the money, you must actually split the single 1099-R into two 1099-R's exactly the same except box 1 and 2a on one put the amount taken in cash and tell TurboTax that you either took it in cash or rolled it over - whichever you did.
Enter the amount converted to a Roth in box 1 and 2a on the other 1099-R and tell TurboTax that you converted that to a Roth.
TurboTax does not support doing two different things with a single 1099-R.
**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.**
