I assume Line 16 and 18 are the same. The gross amount I took out of the IRA $99,000 (converted) to a Roth. Or is IRS asking HOW MUCH went into a ROTH?
I plan to convert more in 2019 so need to understand this. Thanks.
If you only convert the net amount of $77,750 to a Roth IRA, you should report that amount of $77,7750 on line 8 and line 16 of form 8606.
You report the gross amount of $99,000 on line 7 of form 8606.
When I'm trying to figure out how much estimated taxes I should pay in the upcoming year, I have to use Form 8606. Our 1099-R distributions change from year to year; some are from IRAs, where we each have a fairly large non-deductible contribution cost basis. The adjustments that are made on 8606 help me fine-tune my projected gross and taxable income for the year upcoming.