I followed the guide I found on TT (https://ttlc.intuit.com/community/entering-importing/help/how-do-i-enter-a-backdoor-roth-ira-conversion/00/25567/message-id/613), but didn't see this question in the step, am I supposed to choose current year conversion from a traditional IRA to a Roth IRA? Also, even though box 15 and 16 are blank on my 1099-R form, it populates it when I import it from my brokerage. Thank you.
Yes, You must enter current year conversion (2020) from Traditional Ira to Roth Ira on your 2020 income tax return. The amount on 1099-R line 2 on form 1099R is automatically entered on line 15 of 1099-R, if it was left blank.
With a backdoor Roth, you basically start the money off in a traditional IRA, transfer it to a Roth IRA and then pay the taxes you owe on that money now so that you can let your investments grow tax-free and enjoy tax-free withdrawals later. Income limit In 2020 is $139,000 for single and $206,000 for married filing joint.
Yes, You must enter current year conversion (2020) from Traditional Ira to Roth Ira on your 2020 income tax return. The amount on 1099-R line 2 on form 1099R is automatically entered on line 15 of 1099-R, if it was left blank.
With a backdoor Roth, you basically start the money off in a traditional IRA, transfer it to a Roth IRA and then pay the taxes you owe on that money now so that you can let your investments grow tax-free and enjoy tax-free withdrawals later. Income limit In 2020 is $139,000 for single and $206,000 for married filing joint.
Sorry to bother you again @JoannaB2 , but in the backdoor Roth guide I posted, it states you should see Schedule 1 in your forms, I only see a Schedule 2.
Schedule 1 from the menu on the left side of the screen. Line 19 IRA deduction should be blank.