I did Traditional IRA to Roth conversion/rollover in 2019. TT wants to call my conversion dollars a contribution

[ChrisWCarter]

TT is characterizing my conversion as a contribution. I am 71 and am not employed.

I took a RMD of $6,000 and sent it in to the FED for taxes and also converted $25,000 into my ROTH IRA.

As I am filling out my taxes in TT Premier, I have $6,059 basis for my Traditional IRA.

How do I fix this problem...???

[DanaB27]

Please make sure that you did not enter anything under Roth IRA under Deduction and Credits. You will only enter your 1099-R in the income section and answer the follow-up questions. TurboTax will ask about your basis in the follow-up questions.

1. Click "Federal Taxes" on the top
2. Click "I'll choose what to work on"
3. Scroll down and click "Start" next to "IRA, 401(k), Pension Plan (1099-R)" 
4. Answer "Yes" to the question "Did You Have Any of These Types of Income?"
5. Click "I'll Type it Myself"
6. Choose "Form 1099-R, Withdrawal of Money from 401(k) Retirement Plans, Pensions, IRAs, etc."
7. Click "Continue" and enter the information from your 1099-R
8. Answer questions until you get to “What Did You Do With The Money” and choose “I moved it to another retirement account”
9. Then choose “I did a combination of rolling over, converting or cashing out the money.”
10. Enter the amount converted to Roth IRA
11. On the "Your 1099-R Entries" screen click "continue"
12. Answer "yes" to "Any nondeductible Contribution to your IRA?"
13. Answer the questions about the basis

[ChrisWCarter]

I had already done exactly all that.

However, I deleted all of my IRA information and reinserted it all and got exactly the same problem...!

This reply did NOT help!

[fanfare]

Turbotax won't call your conversion a contribution unless you entered it as a contribution.

[macuser_22]

---

@ChrisWCarter wrote:

I had already done exactly all that.

However, I deleted all of my IRA information and reinserted it all and got exactly the same problem...!

This reply did NOT help!

---

Exactly where do you see that?

If entered as in the answer above, your 1099-R box 1 amount should be on the 1040 form line 4a and the taxable amount on line 4b as calculated on a 8606 form.

[ChrisWCarter]

I think you are WRONG...

After completing Wages, Deductions and all other Tax Situations I clicked Continue on “Let’s Check Your Deductions and Credits and Up popped the page “Your Roth Contribution was too High. It said "Taxpayer contributed $25,000 to a Roth, which means taxpayer has an excess contribution of $25,000."

As I am filling out my taxes in TT Premier, I have $6,059 basis for my Traditional IRA. I entered $25,000 as the "Amount converted to a ROTH account. I answered "No" to the question about an HSA and "No" about the Qualified Disaster Distribution. I answered "Yes" to the question of Nondeductible Contributions from 2018 or prior years. I entered my Taxpayer's Total IRA Basis as of December 31, 2018 as "$6,059". I entered the total value  of my Traditional IRA on December 31, 2018 as "$132,111".

HOWEVER, I didn't make any Roth Contributions to my Roth. I only made a conversion...

For some reason, the TT Premier Program has changed/determined my conversion was a contribution. It wasn't a contribution...!!!

How do I fix this???

[macuser_22]

The only way that it can say your contribution was too high would be if you entered something in to the IRA contribution interview.   A Roth *conversion * is NOT a contribution and ONLY is enter into the 1099-R interview.

Go to the IRA contribution interview for Roth and remove any entry you made.   The 1099-R interview asks if you moved the money to another retirement account - say yes and then say that it was converted to a Roth.

Go here and if the Roth box is checked, uncheck it and press [continue] to remove the entry's.

Enter IRA contributions here:
Federal Taxes,
Deductions & Credits,
I’ll choose what I work on (if that screen comes up),
Retirement & Investments,
Traditional & Roth IRA contribution.

OR  Use the "Tools" menu  (if online version under My Account) and then "Search Topics" for "ira contributions" which will take you to the same place.

[ChrisWCarter]

I have done everything you suggested and I finally went to the forms to see what was going on and was able to fix the problem.

I'm 71 and have been using TutboTax for more than 30 years and have never had any problems before.  I think there is a problem in your software, or the way your questions are written that allow some confusion in what is actually being asked for from the user...

I think I finally have it completed. 

Thanks for looking at my question, but except for going directly to the forms, i would never have fixed the problem...so much for the "simple questions" that aren't so simple...

[macuser_22]

Exactly what form and were was the entry you changed?