I did indicate that it was a combination conversion and cash. I’ve entered and re-entered this 1099R carefully, answered the CONTINUE questions at the end of all the 1099-R entries AND TT will not tax that cash. Someone else insisted I had to divide the 1099-R into separate entries, identical except the amounts in Boxes 1 and 2a and it STILL doesn’t tax that $25,000distribution. I specifically watched the Federal Refund amount at the top of the screen and when I entered the $25,000 1099R, the refund fell from $15,000+ to $9,000+ BUT as soon as I checked the IRA/SEP/SIMPLE box, the refund shot back up to $15,000+. If I leave the box empty, TT asks me about it in the very next question.
I still think it is because my 8606-T Part I is not filled in but what do I know? I’ve been at this 32 days now. Any other ideas? Thanks for responding.
