@SLYKTAX wrote:
So, once I have my Roth contribution return, I just treat it as I never contributed to it at all instead of reporting I contributed and then removed, right? The only thing I need to do is reporting on 1040 line 4a is the total return with profits or loss and Line 4b the profit or loss, correct?
Right. Only the earnings that are shown in box 2a on the 1099-R for the return of contribution is taxable. Remove the contribution so the Roth tracking will not show it or if you got the savers credit for it.
A Roth IRA contribution does not actually go on a tax return, but you can enter it anyway.
1) Tell you if your income qualifies you for a contribution and warn you if it does not.
2) Check if your income exceeds the limit to contribute to a Roth.
3) Track your contribution year-to-year if you use TurboTax every year.
4) Add the Retirement Savers Credit if you qualify.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
