2020 RMD reversal using "like property"

[dmertz]

With the result being that your wife made no net traditional IRA distributions and no new nondeductible traditional IRA contributions, no Form 8606 for your wife is to be included in your 2020 tax return.  Forms 8606 are to be included only for years where there was a transaction that affects Form 8606, otherwise the basis simply carries forward.  TurboTax does not carry forward Forms 8606 themselves but instead carries forward the basis information (on the IRA Information Worksheet) unless you fail to transfer in the previous year's tax return or you mistakenly tell TurboTax that there is no basis.