Mixture of pre- and post-tax IRA funds on 1099R.

lull · ‎June 5, 2019

Good evening -- I had converted some Trad IRAs to Roth in 2018. My Trad IRAs are funded with pretax and posttax $'s..

I thought I read somewhere I was supposed to determine percentages of each category to determine my taxable income for these conversation events. But when I run through TurboTax, it never asks. I just enter the fields from the 1099Rs and TurboTax never asks about cost basis.

Am I missing something or (quite) possibly misinformed?

dmertz · ‎June 5, 2019

Click the Continue button on the Your 1099-R Entries page after entering your Forms 1099-R. When TurboTax asks if you made nondeductible contributions to your traditional IRAs, answer Yes, then answer the additional questions regarding the amount of your basis in nondeductible traditional IRA contributions and the 2018 year-end balance in your traditional IRAs. TurboTax will prepare Form 8606 to calculate the taxable amount of the Roth conversion.

Also make sure that you've correctly marked the IRA/SEP/SIMPLE box in TurboTax as marked on the Forms 1099-R provided by the payer(s). Only distributions from traditional IRAs have this box marked and only conversions from traditional IRAs are reported on Parts I and II of Form 8606.

View solution in original post

lull · ‎June 5, 2019

Thank you. Basic mistake. I was bouncing out of the 1099R screens before it got to those questions.

Mixture of pre- and post-tax IRA funds on 1099R.

Retirement tax questions

Retirement tax questions