You are correct. An Agent told me last week that an update would fix it. It updated on 02/26/21, and I was able to do a back door to my Roth IRA then. It was taxed at 6%, but before the update on 02/26/21, it showed I would be paying a 6% penalty as it was treated as a regular cash deposit into my Roth IRA hence the 6% penalty. Now after the update Form 5329 also shows a tax of 6%. My taxable income for 2020 is zero, so the 6% tax rate on Form 5329 is the only tax I will owe for 2020. I assume the 6% is one and done and not a 6% penalty for my Roth contribution? I called Turbo Tax today, and talked to Barbara. She put put me on hold to link me to a CPA, but when she did the transfer, I received a message their was a waiting time again. So I effectively was back to square one. I called Turbo Tax back to get in line.
One more item. I have Form 8606 filled out yearly for a non deductible IRA I did years ago. It did not fill out this year for 2020. I researched and found out an update was supposed to occur by 02/12/21 for it, but it hasn't been updated as yet. What a mess.
