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Jo62
Level 3

Form 8606 Line 6

My Traditional IRA cost basis was $0 in 2022. I made a non-deductible contribution in 2023 and converted it to a Roth 5 days later in 2023. My IRA accumulated $1 of interest during that time. The Traditional IRA value was $1 on December 31. 

 

In TurboTax, line 6 is empty and $1 has been added to line 18 (taxable amount). 

(Line 17 is the amount converted minus $1)

Is this because the taxes on the conversion are on the total value of the conversion/total value of the IRA? 

 

When I fill out form 8606 manually on a PDF, I get different results:

Line 6 is $1.

Line 8 is the amount converted

Line 9 is the total of line 6 and 8

Line 10 is $1. 

Line 11 is the amount converted

Line 13  is the amount converted

Line 16  is the amount converted

Line 17 is the amount converted

Line 18 is 0 (taxable)

 

In this case, I would assume that the $1 will be taxed when I take a distribution. What am I missing? 

 

 

 

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1 Best answer

Accepted Solutions
dmertz
Level 15

Form 8606 Line 6

Related question answered here:

https://ttlc.intuit.com/community/retirement/discussion/re-value-of-your-traditional-ira-as-of-dec-3...

 

Line 10 is slightly less than 1 if you carry enough decimal places.

View solution in original post

1 Reply
dmertz
Level 15

Form 8606 Line 6

Related question answered here:

https://ttlc.intuit.com/community/retirement/discussion/re-value-of-your-traditional-ira-as-of-dec-3...

 

Line 10 is slightly less than 1 if you carry enough decimal places.

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