ThomasM125
Employee Tax Expert

Retirement tax questions

You did have a distribution if you did a backdoor IRA. You shouldn't have any taxable income from it this year.

 

The distribution would have been $3,700, the amount you rolled from the traditional IRA to the ROTH IRA. You would get a Form 1099-R reporting that. You would enter that in TurboTax and would enter $5,200 when asked for the basis in your IRA's, and enter $0 for the balance in IRA's at the end of the year. Also, you need to enter a non-deductible IRA contribution of $3,700. 

 

If you did all of this, I suggest you delete the Form 1099-R entry and see if that removes the taxable income. If so, re-enter it. If you then have the same problem, delete the Form 1099-R entry again and also zero out the IRA contribution entry and start the process over. There must have been an errant entry somewhere, as I duplicated the process and did not have any trouble.

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