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No. You can’t skip carrying back your Foreign Tax Credits to 2023. The IRS requires you to follow a specific order: if you have extra credits in 2024, the law says you must apply them to the previous year (2023) first. Only after that can you carry any remaining credits forward to 2025 or 2026. If you ignore these in 2023, the IRS may disallow any future carryovers going forward.    I would recommend filing an amended 2025 return so that the previous year's carryovers are properly reported.  This way the credits will be properly calculated by reporting the carryover amounts that should be applied in 2025 to determine your foreign tax credit for the year.   As a result, those carryovers will properly appear in your 2026 return going forward. As far as the adjustments, these are necessary because these are qualified dividends rather than ordinary dividends. Qualified dividends are taxed at the capital gains rates rather than ordinary income rates. If this occurs, your foreign tax credit is inflated, thinking this income is taxed at ordinary income rates.     As a result, your income from qualified dividends is adjusted downward to reflect the difference in the two income tax rates. TurboTax recognizes this fact and will automatically make that adjustment for you.        

Generally, you will enter the recharacterization when you enter the Roth IRA contribution and select you recharacterized it. Then TurboTax will add an explanation statement. It seems you entered recharacterization correctly on your 2024 return and made it nondeductible since you had the 2024 Form 8606 with the 7,000 basis on line 14.   The gain in the Roth IRA before the recharacterization is deemed to have been made in the Traditional IRA since you recharacterized the contribution.   You can ignore the 2025 Form 1099-R with code R since it belongs on the 2024 return but won’t change anything in your 2024 return. On your 2025 return you will enter the nondeductible contribution to the traditional IRA: Login to your TurboTax Account  Click on "Search" on the top right and type “IRA contributions”  Click on “Jump to IRA contributions" Select “Traditional IRA” Enter the $7,000 contribution amount  On the screen "You have deductible traditional IRA contributions of $XXX" enter $7,000 as the amount you want to make nondeductible (If you have a retirement plan at work and are over the income limit it will be nondeductible automatically) To enter the Form 1099-R conversion:  Click on "Search" on the top right and type “1099-R”  Click on “Jump to 1099-R” Click "Continue" and enter the information from your 1099-R Answer questions until you get to “Tell us if you moved the money through a rollover or conversion" screen and choose “I converted some or all of it to a Roth IRA” On the "Review your 1099-R summary" screen click "Continue" Answer "Yes" to "Did you have any nondeductible IRA contributions to your traditional IRA from 2024 or prior years?" if you had any nondeductible contributions in prior years. Answer the questions about the $7,000 basis from line 14 of your 2024 Form 8606 and the value of all traditional, SEP, and SIMPLE IRAs ($0.66 rounded up $1 assuming this was your only IRA).    Part of your conversion will be taxable on line 4b of Form 1040 since you had a gain. @ales01   

You can check the box. It will not cause any issues, since what matters most to the IRS is that the numbers match their records.   If you emptied the account, checking the box accurately reflects the status of the account.   The important thing to look for is Code 4 in Box 7, since it is an inherited IRA.

I have a similar experience.  My past experience is that the prior year information for rental property was transferred into the new year tax software. That didn't happen.  It asked me to enter my 2024 expenses into the section feeding the Schedule E.  I did enter all of the expenses by category but only one total from one expense shows up.   I sold this property in 2025 and it is not allowing me to enter that information.  A few weeks ago I got a message that the section on disposing of rental property was not complete and I would be notified when it is updated.   I have not seen any update?     txflyer55

I appreciate your response. Before I continue on with TurboTax, you mentioned that the questions I have encountered happen when box 2a is blank. But I do have a number  in box 2a on my 1099-R for taxable amount,  which I entered manually on TurboTax.  So if this is the case, that I do have a number in box 2a, how should I continue?   Thanks again

Try closing TurboTax, clearing your cache and deleting your cookies. Review the TurboTax Help article How to clear your cache and How do I delete cookies? for specific instructions for your browser. Also, reboot your computer.   Then try to delete the form again.  If this doesn't work, reply back.

Please double check that you are trying to enter the correct account number.  The instructions for the Indiana IT-40 suggest that only certain Indiana 529 accounts will qualify for the credit.  TurboTax uses the account number parameters defined in the Indiana instructions for Schedule IN-529.  Here are excerpts from the relevant sections in those instructions:   Indiana529 Education Savings Plan Credit  837  You may be eligible for a credit for contributions made to Indiana529 education savings plan. Also, you may make contributions to this fund for Indiana K through 12 education purposes. While there are many 529 college savings plans available both in Indiana and nation-wide, only contributions made to this specific Indiana529 Education Savings Plan are eligible for this credit.    Column B. Enter the account number of each qualified account to which you/your spouse made a contribution. The account numbers may be: • 11 digits long, and begin with “61” or “62”, • 10 digits long, and begin with “200”, “201”, “208” or “209”, and/or • 16 digits long, starting with “200” or “201”.    For reference, here are links to the instructions referenced above:   IT-40 Booklet - see page 43, column B IN-529 - see page 2, bottom of column A to the top of column B    

Once your return is filed, TurboTax has no control over the processing or the timing when the IRS releases your refund.    The IRS Where's My Refund site will not take into account the 5 days early, but if you signed up for the 5 Day Early product, you should receive your refund deposited 5 days prior to the date indicated by the IRS, assuming all conditions are met.   For more information click on the link below 5 Days Early Option   If you don't get your deposit 5 days early, there is a few reasons why that might happen.   Your refund was offset or differed from their estimated refund amount, bringing the refund amount below the minimum threshold or above the maximum. What is a refund offset? Your bank wouldn't accept RTP (Real Time Payments) or Same Day ACH deposits, preventing Intuit from depositing your refund 5 days ahead of when the IRS would have deposited your refund. The IRS didn't give Intuit 5 or more days of notice in advance. This stopped Intuit from meeting the 5 days early expectations. If TurboTax is unable to deliver the refund 5 days early, your order will be canceled and you won't be charged the 5-Day Early fee. You will receive a follow-up email with a refund and timing update, and if any cancellation is applicable.