@DanaB27
Hi Dana,
So when I amend 2020, I do not necessarily need to report this 2021 1099-R with recharacterization (basis + gains) per se on 2020 but just enter the amount we recharacterized (without gains)? So in the end of December 31, 2020 we will have a basis of this recharacterized contribution? How will this affect us paying taxes on this amount even though it’s after tax and there was actually $0 in this account at end of year?
Do we have to report this recharacterized amount as described above (2021 recharacterized for year 2020 basis with gains or losses) anywhere on our 2021 return?
Sorry for the confusion and thank you.
