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johnmoster
Level 1

I did a roll over from a traditional IRA to a Roth IRA. I received a form 5498 for the Roth IRA contribution. However TurboTax asks for the 5498 on the traditional IRA?

 
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dmertz
Level 15

I did a roll over from a traditional IRA to a Roth IRA. I received a form 5498 for the Roth IRA contribution. However TurboTax asks for the 5498 on the traditional IRA?

If you had basis in nondeductible traditional IRA contributions and need Form 8606 included with your tax return to calculate the taxable amount of your Roth conversion, TurboTax will ask for your year-end balance in traditional IRAs which TurboTax might indicate is reported in box 5 of the Form 5498 from the traditional IRA.  However, Form 5498 are not required to be sent until May, too late to be useful in preparing your tax return, so if you need your year-end balance in traditional IRAs you'll need to get it from your account statements.

 

Similarly, TurboTax might suggest that your contributions for the year that need to be entered into TurboTax are shown on Forms 5498, but again, since Forms 5498 are often not sent until May you need to simply enter the amounts of your contributions based on your own records.

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dmertz
Level 15

I did a roll over from a traditional IRA to a Roth IRA. I received a form 5498 for the Roth IRA contribution. However TurboTax asks for the 5498 on the traditional IRA?

Even though the custodian might not mail you the Form 5498 if you have not made any contributions for the year and instead provides the FMV directly to you only on an account statement, the custodian does file with the IRS a Form 5498 for each of your traditional and Roth IRAs.  It will appear in your Wage & Income transcript available from the IRS, but generally not until later in the year, say sometime in Q3.

 

The instructions for Forms 1099-R and 5498 indicate the filing requirements for Form 5498 and the circumstances where a Form 5498 must be provided to the participant and when only providing the FMV on an account statement is sufficient:  https://www.irs.gov/pub/irs-pdf/i1099r.pdf

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3 Replies
dmertz
Level 15

I did a roll over from a traditional IRA to a Roth IRA. I received a form 5498 for the Roth IRA contribution. However TurboTax asks for the 5498 on the traditional IRA?

If you had basis in nondeductible traditional IRA contributions and need Form 8606 included with your tax return to calculate the taxable amount of your Roth conversion, TurboTax will ask for your year-end balance in traditional IRAs which TurboTax might indicate is reported in box 5 of the Form 5498 from the traditional IRA.  However, Form 5498 are not required to be sent until May, too late to be useful in preparing your tax return, so if you need your year-end balance in traditional IRAs you'll need to get it from your account statements.

 

Similarly, TurboTax might suggest that your contributions for the year that need to be entered into TurboTax are shown on Forms 5498, but again, since Forms 5498 are often not sent until May you need to simply enter the amounts of your contributions based on your own records.

View solution in original post

johnmoster
Level 1

I did a roll over from a traditional IRA to a Roth IRA. I received a form 5498 for the Roth IRA contribution. However TurboTax asks for the 5498 on the traditional IRA?

Your answer seems to be mostly correct, but I highly doubt that I will ever get a form 5498 for the traditional IRA.  I was able to get the value from my Devember 31st statement, to satisfy TurboTax.  The reason I don't think I will ever get a form 5498 on the traditional IRA is that Fidelity has both accounts and already provided a form 5498 on the Roth IRA, and indicates that no more forms will be coming.  So it is my suspicion that the form 5498 is only provided on the target account, and not the source account.   I don't know what the tax laws are on this.

dmertz
Level 15

I did a roll over from a traditional IRA to a Roth IRA. I received a form 5498 for the Roth IRA contribution. However TurboTax asks for the 5498 on the traditional IRA?

Even though the custodian might not mail you the Form 5498 if you have not made any contributions for the year and instead provides the FMV directly to you only on an account statement, the custodian does file with the IRS a Form 5498 for each of your traditional and Roth IRAs.  It will appear in your Wage & Income transcript available from the IRS, but generally not until later in the year, say sometime in Q3.

 

The instructions for Forms 1099-R and 5498 indicate the filing requirements for Form 5498 and the circumstances where a Form 5498 must be provided to the participant and when only providing the FMV on an account statement is sufficient:  https://www.irs.gov/pub/irs-pdf/i1099r.pdf

View solution in original post

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