So here is the timeline of events for my situation:
March 2020: I contribute $4,585 to Roth IRA for tax year 2019
May 2020: I realize that I contributed too much (MAGI was slightly higher than expected) so i recharacterize $240 from Roth to a newly created Traditional IRA
May 2020: I also contribute an additional $350 to the aforementioned newly created Traditional IRA
June 2020: I file my taxes with Form 8606 included. Line 1, Line 3, and Line 14 are all $590. Other than those three lines nothing else is filled out on this form.
Feb 2021: I receive a Form 1099-R for 2020 for $240 with a Box 7 value of "R"
Fast forward to today, I forgot to convert the $590 sitting in the traditional IRA into Roth so it's still sitting there.
I also intend to contribute the full $6,000 into a traditional IRA for tax year 2020 (but have not done so yet) and will backdoor this into my Roth.
Here are the questions I was hoping you guys could help me with:
1. In terms of tax reporting have I done everything correctly thus far?
2. Should I convert the $590 into my Roth before doing the $6,000 transaction or is the timing of this irrelevant?
3. What should my tax reporting look like for tax year 2020 (aka the tax return that i am working on right now)?
Thank you so much in advance!
