Please elaborate on what amounts are on what lines of the 2007 Form 8606 and what amount is on line 32 of 2007 Form 1040 or line 17 of 2007 Form 1040-A.
Have you examined your tax returns for years 1998 through 2006 for any Forms 8606?
It seems like your 2007 Form 8606 is showing that you made a $2,000 nondeductible contribution for some year 1987 through 2002 and you later made a $4,000 nondeductible contribution for 2007. The maximum IRA contribution for 2007 for someone under age 50 was $4,000, so it makes me wonder why your nondeductible traditional IRA contribution for 2007 would have been only $3,000, if that's true. The limit was $3,000 for years 2002 through 2004. and the limit was $2,000 for years 1983 through 2001 although nondeductible contributions were not permitted until 1987.
If your 2007 Form 8606 is truly incorrect you would file an amended 2007 Form 8606 to correct it. You should be able to file it stand-alone.
