I did roth ira conversion, which can bypass high AGI restriction, why turbo tax says "7000$ I put into a roth is considered an excess contribution"

Forum|Forum|4 months ago
March 14, 2026
2 replies
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TurboTax Online

bmoyer

Level 3

Could you have possibly entered it as a "recharacherization", rather than a "conversion"? Take a look at the IRA worksheet and form 8606 and perhaps that will show you what's going on.

fanfare

Level 15

Did you go through the custodian?

You can't contribute 7000 to a Trad IRA and 7000 to a Roth IRA.

@zhilingzeng

VolvoGirl

Level 15

Only enter it from the 1099R. Do not enter it again under Deductions & Credits, It is not a new contribution.

zhilingzengAuthor

Level 2

I can provide more details if needed. I converted the funds to a Roth IRA in January 2026, so I have not received a Form 1099‑R yet.

Based on what I’ve read online, I should only report that I made a nondeductible contribution to a Traditional IRA for tax year 2025 and indicate that my AGI is too high to deduct the contribution.

Since the Roth conversion occurred in 2026, I understand that I will receive Form 1099‑R in January 2027, and that I will report the Roth conversion on my 2026 tax return.

Is this understanding correct?

bmoyer

Level 3

That sounds correct. You should see a basis of $7000 on line 14 of your form 8606 for 2025 (assuming you have no previous basis in traditional IRAs) which will reduce or eliminated taxes on the conversion when you file your 2026 return, on which the conversion is reported. (Conversions are reported in the year of conversion, contributions are reported for the year of the contribution)