dmertz
Level 15

Retirement tax questions

If you have the CD/download version of 2023 TurboTax you can enter everything needed to prepare your tax return (not just the Roth IRA distribution) and see what TurboTax shows for your balance due for federal and state.  TurboTax will prepare Form 8606 Part III to calculate the taxable amount and will prepare Form 5329 Part I to determine the penalty, all leading to the determination of your balance due.  The Form 1099-R for the distribution from the Roth IRA will have the distribution amount in box 1, a blank box 2a, box 2b Taxable amount not determined marked and code J in box 7.

 

Of course this is only relevant if you get your distribution request to Fidelity before market-close tomorrow, otherwise it won't be 2023 income.

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