To report the Traditional IRA distribution and the conversion contribution:
- log in to your Turbo Tax account
- click on "take me to my return"
- click on the "federal taxes" tab
- click on "wages and income"
- choose "show more and "see list of all income"
- scroll down to "retirement plans and social security"
- click on "start" next to "IRAs, 401(k), etc"
- enter the information for your 1099R
- Turbo Tax will ask you questions about your Traditional IRA distribution
- When you reach the screen that says, "what did you do with the money?", choose the option that says, "I moved the money to another retirement account"
- After you choose this option, another set of options will appear:
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If you converted the entire distribution to a Roth IRA, choose "I converted all of this money to a Roth IRA"
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If you only converted some of the distribution to a Roth IRA, choose, "I did a combination of rolling over, converting, and cashing out the money." If you choose this option, Turbo Tax will ask you to identify how much of the distribution was converted to a Roth IRA, and how much of the distribution was rolled over into another retirement plan.
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Next you will the screen that says, "your 1099R entries". Scroll down to the bottom of the page and click "continue". Turbo Tax will ask you more questions and you will need your 5498 Form for your Traditional IRA. A year end statement might also provide the necessary information.
