DanaB27
Expert Alumni

After you file

You will only need to amend your 2019 tax return if you did not already report the recharacterization on your 2019 tax return like this:

 

  1. Login to your TurboTax Account 
  2. Click on "Search" on the top right and type “IRA contributions”
  3. Click on “Jump to IRA contributions"
  4. Select “Roth IRA
  5. Answer “No” to “Is This a Repayment of a Retirement Distribution
  6. Enter the Roth contribution amount  $6,000
  7. Answer “Yes” to the recharacterized question on the “Did You Change Your Mind?” screen and enter the contribution amount $6,000 (no earnings or losses)
  8. TurboTax will ask for an explanation statement where it should be stated that the original $6,000 minus $207 loss were recharacterized.
  9. On the screen "Choose Not to Deduct IRA Contributions" answer "Yes" (this makes it nondeductible to be able to do the backdoor Roth and creates Form 8606)

If you report it like above then you do not need to enter the 1099-R with code R on your 2019 tax return.  A 1099-R with code R will do nothing to your return.

 

Please see How do I amend a 2019 return in TurboTax? for instructions.

 

 

On your 2020 tax return:

 

To enter the nondeductible contribution to the traditional IRA:

  1. Open your return
  2. Click on "Search" on the top right and type “IRA contributions”
  3. Click on “Jump to IRA contributions"
  4. Select “traditional IRA
  5. Answer “No” to “Is This a Repayment of a Retirement Distribution?
  6. Enter the amount you contributed $6,000
  7. Answer “No” to the recharacterized question on the “Did You Change Your Mind?” screen
  8. Answer the next questions until you get to “Any Nondeductible Contributions to Your IRA?” and select “Yes” if you had a nondeductible contributions before this tax year.
  9. If you had a basis in the Traditional IRA before then enter the amount.
  10. On the “Choose Not to Deduct IRA Contributions” screen choose “Yes, make part of my IRA contribution nondeductible” and enter the amount.

 

To enter the two 1099-R distribution/conversion: 

  1. Open your return
  2. Click on "Search" on the top right and type “1099-R”
  3. Click on “Jump to 1099-R”
  4. Click "Continue" and enter the information from your 1099-R
  5. Answer questions until you get to “What Did You Do With The Money” and choose “I moved it to another retirement account
  6. Then choose “I did a combination of rolling over, converting, or cashing out money.” and enter the amount next to "Amount converted to a Roth IRA account"
  7. On the "Your 1099-R Entries" screen click "add a 1099-R"
  8. Enter the information from your 2nd 1099-R
  9. Answer questions until you get to “What Did You Do With The Money” and choose “I moved it to another retirement account
  10. Then choose “I did a combination of rolling over, converting, or cashing out money.” and enter the amount next to "Amount converted to a Roth IRA account"
  11. On the "Your 1099-R Entries" screen click "continue"
  12. Answer "yes" to "Any nondeductible Contribution to your IRA?"
  13. Answer the questions about the basis

 

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