Retirement tax questions
Thank you dmertz for your time providing valuable information. I appreciate.
As per the IRS “If you recharacterized the entire contribution, don’t report the contribution on Form 8606. In either case, attach a statement to your return explaining the recharacterization. If the recharacterization occurred in 2022, include the amount transferred from the traditional IRA on 2022 Form 1040, 1040-SR, or 1040-NR, line 4a. If the recharacterization occurred in 2023, report the amount transferred only in the attached statement, and not on your 2022 or 2023 tax return.”
- I recharacterized the entire contribution of $7,000 to the Roth IRA which occurred in Feb 2023 before I filed tax return. Do I still need to amend my 2020 Tax return?
- I contacted Vanguard regarding 2022 Form 5498 not showing Roth IRA contribution, they mentioned that the 5498 is not needed for tax filing. When I receive a 1099-R in mid-January, I will use that to file my recharacterization with my taxes. How do I proceed?
Thank you for being patient with me. I have learned a lot.
