Hi folks, I'd appreciate your help with inputting my retirement contributions into Turbotax. Turbotax is indicating that I have excess Roth IRA contributions and taxable IRA distributions when I don't believe either to be the case.
Short version of my situation: I overcontributed to a Roth IRA in 2020; in February 2021 before filing for 2020 I withdrew the excess contribution into a traditional IRA and then backdoored it back into the Roth IRA.
Long version:
In 2020 I contributed $200 more to my Roth IRA than was allowed. I realized this mistake in early 2021 and recharacterized the $200 + $6 of earnings to a traditional IRA. I then contributed $2,000 to the traditional IRA (after-tax) and converted the total of $2,206 to my Roth IRA for 2020. All of these were done before the 2020 filing deadline and reflected in my 2020 taxes. In 2021, I also made a $6,000 after-tax contribution to the traditional IRA and then converted it to the Roth IRA as well (backdoor Roth). The total amount converted from traditional IRA to Roth IRA was $8,206 ($206+$2,000+$6,000)
This year, I received 4 forms from the custodian: a 1099-R for the Roth IRA showing the $206 recharacterization, a 1099-R for the traditional IRA showing the $8,206 conversion, a 5498 for the Roth IRA showing the $8,206 converted to the Roth, and a 5498 for the traditional IRA showing the $6,000 contributed for 2021 and the $206 of recharacterized contributions.
When I input these forms into Turbotax I'm having two problems: 1) Turbotax insists that I've overcontributed to a Roth IRA and 2) Turbotax says that $6,000 of the distributions is taxable income.
Clearly this extra $6,000 of taxable income would be a big hit in the amount of taxes I owe. Can anybody help me figure out if there's something special I need to do in entering the 4 forms into Turbotax to correctly indicate that there's no tax liability or deductability from any of these transactions?
Thanks so much for anybody who can help!
