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Hi. the amount in Box 1 of the W-2 is Gross income - $2000 (exempted amount). There was a 1042-S issued for where Box 2(gross income) says 2000. I just was not sure if this is standard reporting. I am asking if inputting the $2000 as miscellaneous income and then subtracting it by that amount negatively should be done in these situations. 

@giraffe223   ROTH IRA contributions are fully taxable and are not tax exempt.  They grow tax free and upon withdrawal there is no tax on the RMD.  Verses a Traditional IRA which for Federal Purposes the contribution is tax exempt, it will grow tax free but, your distributions will be fully taxable in the future.   I am confused about your basis question.  There should be no basis in the traditional IRA as you transferred it to a 401k.  You can transfer a 401(k) to an IRA and later move those funds into a new employer’s 401(k) (a reverse rollover)  This process is generally tax-free if done directly through custodian-to-custodian transfers. You can only move pre-tax money back into a traditional 401k

In order to amend, should I file just form 8606 for each of the years? Do I also need to file 1040 for each of the years from 2021? There is no change to income or tax, since only the basis needs to be adjusted. Also, do I have to use software or can I manually fill out the 8606 forms? Not sure if I can access all the previous years software.   Can I send all of them in one envelope or do I have to mail them separately?

My SALT issue is one I haven't seen anyone else ask about.  The $40K increase is showing up, but I'm not getting the full amount of my 2024 Taxes paid in 2025 allowed and the amount I am not allowed changes based on the amount.  To explain, I paid $1,250 in 2025 State Taxes in 2025.  I also paid $2,727 in 2024 State Taxes in 2025.  When I entered that, TurboTax only allowed me to have $3,877 SALT deduction instead of the entire amount I paid ($3,977 - $1,250 for 2025 and $2,727 for 2024 - a $100 difference).  I tried changing the amount of 2024 State Taxes paid in 2025 and the difference changed.  If I changed the 2024 amount to $2,500, the difference went down to $96.  For $2,000, down to $85 all the way down to no difference if I had no 2024 payments.  Conversely, if the amount was higher, the difference would be as well.  It peaked out at $31,601 in 2024 State Taxes (which brought the SALT total to $40,000), the difference was $184.  I can't see any reason why the Allowed SALT is the same as the Entered SALT.     '24 Taxes paid in '25 SALT  Entered SALT Allowed Difference 0 1,250 1,250 0 500 1,750 1,719 31 1,000 2,250 2,196 54 1,500 2,750 2,679 71 2,000 3,250 3,165 85 2,500 3,750 3,654 96 2,727 3,977 3,877 100 3,000 4,250 4,145 105 3,500 4,750 4,638 112 20,000 21,250 21,074 176 30,000 31,250 31,067 183 31,601 32,851 32,667 184   My income is well below the $500K threshold.  (I'm recently retired and did not need to take any funds out of my retirement accounts.)  I live in Virginia.  It's not a big difference, but I can't figure out why it's there.  If I do the tables manually, the answer I get is the amount I entered on Turbo Tax.  

  When you use online TurboTax software you get one return per fee.   Each return needs its own email, account and user ID.   If you use the same account and user ID for a second return, the second one overwrites the first return and it is lost forever.     https://ttlc.intuit.com/community/using-turbotax/help/how-do-i-start-another-return-in-turbotax-online/00/25596 https://turbotax.intuit.com/personal-taxes/online/file-your-own-taxes/

Your TurboTax reject code and the reason for rejection are in the Action Needed email sent to you from TurboTax.  You can also find out why your return was rejected by signing in to your TurboTax account and selecting Fix my return on the tax home screen. Follow the steps below to Fix Your Return:   Sign in to your account Select Fix my return to identify the error code and reason Correct the data (e.g., SSN, PIN, or AGI) Go to the file section to resubmit.  For additional information, refer to the TurboTax articles Video: What to Do If Your Tax Return Is Rejected by the IRS and What does my rejected return code mean and how do I fix it?

Are you a W-2 employee?   Sorry---W-2 employees cannot deduct job-related expenses on a federal return.  Job-related expenses were eliminated as a federal deduction for W-2 employees by the tax laws that changed for 2018 and beyond.  Your state tax laws might be different in AL, AR, CA, HI, MN, NY or PA.     If you are preparing a return for a state that lets you deduct job-related expenses, the information will flow from your federal return  to the state return, so enter it in Federal>Deductions and Credits>Employment Expenses>Job-Related Expenses     If you are trying to enter mileage for your state return, you cannot use the miles from home to work or from work to home---only the miles driven to make the deliveries.    

@Pajntsha TurboTax e-file may be unavailable due to unfinalized IRS forms (There are still forms the IRS has not finalized), non-supported tax situations (e.g., specific foreign income, complex forms), or software updates required, overrides you may have done, or errant characters that may have happened during a transfer from a 3rd party.   Manual Update: Within TurboTax, go to the "Online" menu and select "Check for Updates". Disable Security Software: Temporarily turn off antivirus software (e.g., Norton) and VPNs, then try updating/filing again.Even if TurboTax says it is up to date, disabling security software and relaunching can sometimes trigger a necessary, overlooked update. Reinstall: If the above fails, uninstall TurboTax and reinstall it using your download from the official TurboTax account. Check Form Errors: Go to Forms Mode in TurboTax Desktop and check for red exclamation points, which indicate incomplete information. REVIEW FORMS by Go to "REVIEW" tab to see if specific forms are listed as unavailable. RUN SMARTCHECK Try running Turbotax as Administrator if using desktop All TurboTax and related files should be on your C drive not a thumb drive.   CHECK INTERNET/BROWSER: Clear cache/cookies, or try a different browser. If all else fails, print and file by mail.      

It’s apparently a trend to frustrate long time clients. I have been using turbo tax software since the started (almost).  Had to use a “silk screen to input the info.  Now it appears that their product has become a (b-movie) type of software.   this will be my last you of turbo tax.  The company as been going downhill in their tax program system and apparently they like it like that.  I have wasted way too much time in getting the 2020 tax filled. When I found new information that will affect the result, I mistakenly tried to retrieve the file form my pc only to find it nowhere. It was wiped out.   What a disappointment.  Good bye INTUIT’s TurboTax.

No, TurboTax doesn't support Form 709. Complete Form 709 if you gave gifts to someone that total more than $19,000 (other than your spouse).   You can download it from the IRS website and complete it. Refer to the IRS website for IRS Form 709 and Form 709 Instructions.   Refer to the TurboTax article Where do I report a cash gift? for more information.   New Jersey doesn't have a gift tax.   I can't speak on other tax reporting software.

Hello CatinaT1, thank you for this explanation, I was starting to question myself with this situation.  I had to amend 2025 for a 1099-NEC I received after the initial filing.   After updating the return I chose automatic payment with a date 1 and 2 days after the current date.  Both times the return was rejected with the error message: “FPYMT-071-02 - RequestedPaymentDt” in the IRS Payment Record (IRSPyament) must not be more than 5 days prior to the received date.   I will print and mail, thank you for your reply.   

Well, here's an update since my post last year.  I wrote to the President of Intuit before I filed describing the problem, and he actually answered my email.  He also had one of their upper tier specialists (the folks who only work on special problems and don't generally work the Help Center) call and work with me.  He totally understood the problem (and my complete frustration) and agreed that TT couldn't handle it, but should be able to, especially considering how simple a change it would be and the number of people who will be inheriting IRAs in the next few years.  He then took a few days to talk to the programmers to see what was possible.  He reported that they were aware of the problem but that it wasn't a top tier issue for them!  He hoped he could convince them to move it up the priority list after tax season ended, but based on what you reported above apparently that did not happen. I suspect that's because of all the changes the OBBB created for the programmers.  So what did I do for 2023 and 2024?  In 2023 I succumbed and did what TT said I had to do -- filled out the 8606 myself and snail mailed my return.  But for 2024 I took a different approach.  I filed electronically and after my return was accepted by the IRS I snail mailed them the 8606 with a letter saying that TT was hopelessly flawed and failed to include my 8606 with the return.  So far I have not heard a thing from the IRS (not that I expected to).  For 2025 I will do the same thing and thankfully this will be my final inherited IRA distribution!