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How do I input a Backdoor Roth IRA contribution?

 
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2 Replies
DanielV01
Expert Alumni

How do I input a Backdoor Roth IRA contribution?

It depends.  The key is when you made the conversion to a Roth IRA.  No matter when you made the contribution, you are no doubt looking to include the contribution for 2017.  Thus, the contribution to a nondeductible TIRA (Traditional IRA) will be reported in 2017 to Form 8606 so that the basis of the TIRA may be tracked.  However, when the conversion is reported depends on whether you converted the TIRA to a Roth in calendar year 2017 (on or before December 31), or if you did so in 2018.  If the conversion is made before January 1, 2018, report the conversion on the tax return.  You will have received a 1099-R, which could have had a taxable amount in box 2a, but when you enter that you converted the TIRA to a Roth, and that your ending TIRA basis was 0, then the income will be properly excluded from the tax return (although it is reported), you will have a zero basis in the TIRA, and it will now be in your Roth IRA.  If you made the conversion in 2018, you will make the same entries, but when you do your tax return next year

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How do I input a Backdoor Roth IRA contribution?

Thank you for the explanation. We did the conversion in 2018 and don't have 1099-R. So we'll do the 2018 next year.
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