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Retirement tax questions
I have a problem with this for 2020. I suppose the issue is that my spouse forgot to complete the conversion from TradIRA=>RothIRA in the same tax year, and left a basis in her Trad-IRA. She also earned about $180 in dividends in the TradIRA, which should be taxable when the total amount is finally converted to the RothIRA.
However, what I'm seeing is that TT treats the ENTIRE RothIRA conversion in 2020 as taxable, even though "Form8606-S" shows the taxable amount as $0 and the "IRA Contrib Wks" shows theIRA contribution as NON-deductible.
Ultimately, the problem seems to be that "IRA Info Wks - Part V, line 35/36: Conversion Contributions not/taxable" are empty. These values are correctly filled in my TT2021 return––when all the TradIRA=>RothIRA conversions were correctly completed and the YE TradIRA value is $0.
Is my problem that TT cannot correctly complete a Backdoor Roth contribution if the YE TradIRA balance is > $0? Is there a way to manually override the TT calculations?