Hello,
Here is my situation. Me and my Wife cannot contribute to Roth because of the earning limit. We can do backdoor Roth.
(a) Wife contributed to her IRA in Dec 2022 for year Dec 2022.
(b) The account accrued $294 interest until I noticed it in Jan 2024.
(c) Jan 2024, she rolled-over the amount $6294 to Roth
(d) Nov 2024, she contributed $8000 for year 2024.
(e) Dec 2024, she rolled-over amount $8000 to IRA.
She received a 1099-R with amount $14,294. Now of that amount only $294 should be taxable but TurboTax is calculating the tax basis to be $5,562 and asking to pay tax on (14294 - 5562 = 8732). How can I fix this?
thanks in advance.
