I did a late backdoor roth conversion in 2026 for year 2025. I did not receive a 1099-R, so do I still need to report it under retirement wages and fill out form 8606?

[ThomasM125 · Accepted solution]

Yes, you can enter a substitute Form 1099-R to report the transfer of funds from the traditional IRA to the ROTH IRA.

You have to enter a traditional IRA contribution and then enter the Form 1099-R reporting the rollover. Also, when you enter your IRA contribution, you must indicate that it was a non-deductible IRA contribution.

When you enter the 1099-R form in TurboTax for the rollover of funds to the Roth IRA, you need to first indicate that you moved the money to another retirement account and that you did a combination of rolling over, converting or cashing out the money. Then, enter the amount converted to a ROTH IRA. Later on you need to indicate that you tracked non-deductible contributions to your IRA.

Later in the routine enter the basis (non-deductible contributions) of your traditional IRA at the end of the previous year, and later the value of your traditional IRA at the end of the current year.

To enter a substitute form 1099-R in Turbo Tax Desktop follow these instructions:

1. Find the Retirement Plans and Social Security menu option in the Wages and Income section of TurboTax
2. Start or Update IRA, 401(k), Pension Plan Withdrawals (1099-R)
3. Choose Add (Another) 1099-R
4. Choose I'll type it in myself
5. On the screen that says Tell Us Which 1099-R You Have choose I need to prepare a Substitute 1099-R

To enter a substitute form 1099-R in Turbo Tax Online follow these instructions:

1. Find the Retirement Plans and Social Security menu option in the Wages and Income section of TurboTax
2. Start or Update IRA, 401(k), Pension Plan Withdrawals (1099-R)
3. Choose Add (Another) 1099-R
4. Choose I'll type it in myself
5. Choose the source of your 1099-R form
6. Enter your pension distribution into the Form 1099-R entry screens
7. When you come to the screen that says Do any of these situations apply to you? Check the box that says I need to file a substitute 1099-R and follow the instructions

[dmertz]

Roth conversions are made in a particular year, not for a particular year.  A Roth conversion performed in 2026 is reportable on your 2026 tax return, not on your 2025 tax return.  Entering a substitute 2025 Form 1099-R for such a Roth conversion would be nonsensical because the Roth conversion did not occur in 2025.

Under the circumstances, only the traditional IRA contribution is reportable on your 2025 tax return.  Only Part I of your 2025 Form 8606 is to be prepared.  The amount that results on line 14 of your 2025 Form 8606 will carry forward to line 2 of your 2026 Form 8606 to be applied in calculating the taxable amount of your 2026 Roth conversion(s).

[nobodywang]

I am in the same situation with the post. After I report this traditional IRA, I owe more money in federal tax return. I am not sure if this is expected given my contribution has been after-tax.

[baldietax]

@nobodywang the contribution itself should not be affecting tax but during that process you may have been asked for the market value of your Trad IRA(s) as of 12/31/25 which affects the tax calculation on any distributions or conversions if it's not zero, since that may mean you also have pre-tax earnings in your Trad IRA(s).  Suggest checking Form 8606 to see what is happening and why you have a tax impact and provide more details here.

[radderthanrad83]

Thank you for your explanation because I had read the same advice in other places but the form 8606 is very confusing to me even though I have copies of previous 8606s that were filed with TurboTax in previous years when I had contributed to my Traditional IRA and converted them to backdoor Roth IRAs. 

My situation is I filed my 2025 taxes in February 2026 but then I realized I forgot to contribute to a traditional IRA for 2025. However, I am aware I could still contribute to 2025 before April 15, 2026; it just needs to be reported on form 8606 and it can be sent after the fact, correct?

I contributed $7000 to my traditional IRA 2 weeks ago and converted it to a Roth IRA. I also understand that the ROTH conversion should appear on my 2026 tax return next year. 

So, is it correct then that the most important thing right now is that someone like me fills out 8606 with Part 1 showing a contribution on Lines 1 and 3, and then on Line 14 shows that same contribution? Parts 2 and 3 do not seem to apply to my situation until next year. I am filling out the form and leaving most everything else blank. I want to make sure that I put my $7000 contribution on the correct lines of form 8606.

thank you.

[radderthanrad83]

@dmertz sorry I meant to tag you in my last reply. Hope you don't mind.

[dmertz]

Yes, if the traditional IRA contribution made for 2025 was not reported on your 2025 tax return, you'll need to do that.  I would file Form 8606 along with Form 1040-X.  The Form 1040-X will show that there are no changes to your already-filed 2025 tax return other than to add the Form 8606 to report the nondeductible traditional IRA contribution.

You are correct about what the 2025 From 8606 need to show.