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I contributed to a traditional IRA for my 2017 tax year, but I could not deduct the contribution so I paid taxes on the entire amount. Roll to ROTH in 18 is being taxed
I have the 2017 Tax information statement form 5498. This contribution was done in 2018, then I later in the year converted this to a ROTH account. How do I enter in Turbo Tax this information so I am not taxed on this amount?
Where do I enter this so I am not double taxed on this amount?
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June 1, 2019
10:27 AM
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Retirement tax questions
I figured this out - it's form 8606 from previous years where I see my non-deductible amount I contributed to my IRA's that I then use as my basis for the roll over so I am not double taxed. Also, by going directly to this form in TurboTax, I found where I enter this basis.
June 1, 2019
10:27 AM
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Retirement tax questions
If you contribute to a Traditional IRA and convert to a Roth in the same year, you will not be able to deduct your contribution to the Traditional IRA that year. This is because any amount converted to a Roth is considered taxable in the year of conversion (even though there is no tax penalty for conversion). In certain rare cases you were able to spread the conversion out over 2 years. So if you contribute and then convert, it's a wash.
June 1, 2019
10:27 AM
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Retirement tax questions
Thanks - I figured out my question (it's a bit different than what you answered, but I do appreciate it) - it's form 8606 from previous years where I see my non-deductible amount I contributed to my IRA's that I then use as my basis for the roll over so I am not double taxed. Also, by going directly to this form in TurboTax, I found where I enter this basis.
June 1, 2019
10:27 AM