Many thanks in advance for any assistance for this issue. I have tried to find answers to my questions, but I haven't been able to find something that is consistent and clear.
In Jan 2023 I made a $6k contribution to my Trad-IRA for what I intended to be for the prior year (2022), and then converted it a few days later via backdoor to Roth. In Aug 2023 I made a $6.5k contribution to the Trad-IRA for what I intended to be for 2023 and then converted it a few days later via backdoor to Roth. (The Trad-IRA balances were $0 after each conversion)
I did not receive any documents for tax year 2022 to document that conversion. I did receive a 5498 for 2022 that shows my 6k contribution into the Trad-IRA (which was sent to me in May 2023, AFTER tax filing), but I did NOT receive a 1099-R for 2022 to document the conversion.
For 2023 I received a 1099-R which shows a $12500 rollover into my Roth with distribution code "2" and a 5498 for the Roth which shows a $12.5k conversion. The 5498 for 2023 for Trad-IRA shows I contributed $6.5k.
So....
1. Are the rules for conversion and contribution different? A quick search suggests I cannot make a conversion for 2022 after Dec 31 2022, even though the brokerage advertised that I could make a "contribution for the prior year." I presume this means a direct contribution is different than a conversion, with different deadlines???
A quick online search seems to suggest this is the case, but this particular TT positing makes references that there is a way to address conversion made for prior years, so Im not sure if there actually is a difference in deadlines between conversions and contributions:
https://ttlc.intuit.com/turbotax-support/en-us/help-article/retirement-benefits/enter-backdoor-roth-...
2. I looked through the instructions on the above link....so would there be a way on TurboTax to ensure the IRS knows that despite the 1099-R for 2023 showing a 12.5k rollover into Roth, that 6k of that 12.5k rollover shown on the 1099-R for 2023 is for 2022, not 2023? What would I show on 8606 for the 2023 return?
3. As the link suggests, is it really as straightforward as filling out a 8606 for 2022 and mailing it to them? There is no other correction I need to make on my 2022 1040? And if so, can I do this though TurboTax that I will be purchasing for 2023? For reference I used TT Desktop for 2022.
4. If all of the above is moot, and I've truly made a blunder as per question 1 and have inadvertently overcontributed because conversions have different deadlines, Im reading that I could ask for a refund of that excess overcontribution. But how would the IRS even know on my 2023 return that I have done that? Would I have the brokerage send me something before the deadline that I would then also file so the IRS knows Im taking corrective action? Obviously my goal would be ensure compliance so I dont have to deal with the headache of dealing with them in years forward.
5. Or is this too complex of an issue for TT to handle and would I just need to hire a TT tax pro to figure this out?
Any help would be much appreciated. Thanks.
