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Retirement tax questions
It depends- if you had nondeductible contributions from the traditional IRA, you would not have taxable income; but if you did take the deduction in the past it would be taxable upon conversion now. You should have a Form 8606 from 2024 which would show if you had nondeductible contributions.
If you do not have the 8606, I suspect if you entered as a Backdoor Roth, you indicated you had nondeductible contributions (once again, if entered as a Backdoor Roth, you designate the traditional IRA contribution in 2025 as nondeductible so there is no tax applied but the mechanics require it to be in the same year.)
If this is the case, let me know and I can provide a step by step instructions to correct. @vidiheho
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a month ago