@ErnieS0 @MaryK4 what about my case below:
Over the years, I have contributed to non-deductible IRA for $100,000 (this is all after tax money), now it grew to $200,000.
in 2021, I, first time, converted $80,000 to Roth IRA,
so in the NJ previous taxed amount line, shall I put $80,000 or $100,000?
In either case, my converted amount ($80k) is less than my basis ($100K), so I should have 0 tax liability, right?
This is different from the Federal tax calculation. In Form 8606, the taxable amt is
$80k (IRA distribution/converted to Roth) x ($100k after tax basis/ $200k current value) = $40K
I certainly like the NJ way of calculating, but since it's different from federal calculation, I want to make sure I am doing it correct!
Thanks!
