Retirement tax questions

The reason TurboTax is saying your income is too high is not because you didn't file Form 8606.  You do need to file a Form 8606.  It can be filed by itself.  To download Form 8606 go to: Form 8606 Nondeductible IRAs 

To report your Roth Conversion:

• type 1099-R in the search box
• click on "jump to Form 1099-r"
• enter the information for your 1099-R
• Turbo Tax will ask you questions about your Traditional IRA distribution
• When you reach the screen that says, "what did you do with the money?", choose the option that says, "I moved the money to another retirement account"
• After you choose this option, another set of options will appear:
• If you converted the entire distribution to a Roth IRA, choose "I converted all of this money to a Roth IRA"
• If you only converted some of the distribution to a Roth IRA, choose, "I did a combination of rolling over, converting, and cashing out the money." If you choose this option, Turbo Tax will ask you to identify how much of the distribution was converted to a Roth IRA, and how much of the distribution was rolled over into another retirement plan.
• Next you will the screen that says, "your 1099R entries". Scroll down to the bottom of the page and click "continue". Turbo Tax will ask you more questions and you will need your 5498 Form for your Traditional IRA. A year end statement might also provide the necessary information.