DanaB27
Expert Alumni

Retirement tax questions

Question 1. Yes, that is correct, lines 1, 3, and 14 will be $6,000 since you didn't make a conversion in 2020.

 

Question 2. Line 2 would have the basis of $6,000 from your 2020 Form 8606 line 14. Yes, you will answer "Yes" to "In 2021, did you take a distribution from traditional, SEP, or SIMPLE IRAs, or make a Roth IRA conversion?"

 

Your 2021 Form 8606 should have $6,000 on lines 1 and 2. $12,000 on line 3. $6,000 on line 4 and $6,000 on line 5. Please see Reporting your nontaxable distribution on Form 8606 for additional instructions to complete Part I.

 

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