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Level 1
March 10, 2026
Question

How to enter Backdoor Roth in Turbotax Online version

  • March 10, 2026
  • 1 reply
  • 220 views

I did backdoor Roth in 2025 and tried to follow the instruction but I get different questions which I don't see in the instruction. 

In result, I see correct value in line 4a and 4b for form 1040 preview, but I see Schedule 2 line 8 & Form 5329 line 25 that I am penalized with 6% of the amount I did the backdoor Roth. 

I should not be penalized with the backdoor Roth, and i want to know exactly which questions are impacting this result and how should I respond. 

 

Here are the questions and my answer under Federal -> Deduction & credits -> Traditional and Roth IRA contribution 

Select the kinds of IRAs owned or contributed to for 2025. -> Traditional IRA

- Is this a repayment of a retirement distribution you received? -> No

- Enter amount -> entered the amount i contributed to IRA and then transferred to Roth account on the same day

Did you recharacterize any of the traditional IRA contributions for 2025 over to a Roth IRA contribution? -> No 

Did you contribute more money to this IRA than was allowed in 2024 or any previous year? -> No (I did backdoor Roth in 2024 as well, is the answer No correct?)

Did you have any nondeductible IRA contributions to your traditional IRA from 2024 or prior years? -> Yes

- If you made any nondeductible contributions in prior years, look at your most recent Form 8606. Find the box called total basis and enter the number from that box below. ==> 0 

 

Where am I doing wrong? 

 

 

1 reply

baldietax
Level 12
March 11, 2026

did you enter the 1099-R and answer the questions after the 1099-R summary to identify it as a Roth conversion?