Thanks dmertz, that helps a lot. The contribution was nondeductible, so it sounds like a 2019 form 8606 should've been filed (and the conversion is not taxable, to your last paragraph).
So I think the steps forward are:
- Re-file 2019 to include a Form 8606 with line 1 filled out. Do I use $3,000 since that was the 2019 contribution, or just the recharacterization amount? And if it is just the recharacterization amount, that should not include and gains/losses, correct?
- For 2020, I'll take the carry-forward amount from line 1 on 2019's 8606, plus the contributions I made in 2020 for 2019 tax year (the remaining $3,000), and that should give me the $6,000 amount to Roth that also goes on Form 8606.
- And since I did a similar flow for tax year 2020 (contributed throughout 2020 to Roth, then recharacterized and backdoored in 2021 for the 2020 contributions), I'll want to carry forward $6,000 on my 2020 return so it falls through properly to my 2021 tax return.
Does that all seem right? From now on I'll just be doing the straightforward to traditional and immediate conversion to Roth, I can't believe how complicated I've made this.
Thanks again for all your insight!
