Here's the situation -
I contributed fully - $6,000 - to Roth IRA in 2020.
In 2021 - I discovered that I only qualified for $200 contribution to Roth, so I had to do a recharacterization of $5,800 (non-deductible) to Traditional IRA. I then did a backdoor conversion to Roth.
I then contributed another non-deductible $6,000 to Traditional IRA and then did another backdoor conversion to Roth.
I generated some earnings in Traditional IRA that was converted to Roth.
Now, does that mean the entire balance was taxable even $11,800 was already taxed previously before contribution to Traditional? Does that means it was double-taxed, even I did not qualify for deduction due to income limit?
How do I report that? I already got two 1099-R. one was for Roth IRA recharacterization which is not taxable, and one was for Traditional IRA conversion to Roth which showed entire amount as taxable.
I'm quite confused.
Thank you!
