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d_holeton
New Member

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

I opened a Roth IRA in March 2017 with a direct rollover from an after tax 401k.  I withdrew some money from the Roth IRA in December 2017.  When I filed my taxes using TurboTax in February, 2018, form 8606 was created with no entries in form 8606 lines 22 or 24.  Should I have input something into one of the TurboTax fields so that the net amount (basis) of the Roth IRA appeared in lines 22 or 24 of form 8606?

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Accepted Solutions
dmertz
Level 15

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

If you used TurboTax to prepare your 2017 tax return, TurboTax should have acquired as conversion basis the amount that was rolled into the Roth IRA.  This should be present on 2017 [not 2018 as I originally typed] Form 8606 line 24 if line 23 is nonzero.  If it's not there, click the Continue button on the Your 1099-R Entries page and proceed to where TurboTax asks if you made any Roth conversions, the enter the taxable and nontaxable amounts that came from the traditional 401(k).  (Perhaps it was all nontaxable if you sent the taxable portion, if any, to a traditional IRA.)

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5 Replies
dmertz
Level 15

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

If you used TurboTax to prepare your 2017 tax return, TurboTax should have acquired as conversion basis the amount that was rolled into the Roth IRA.  This should be present on 2017 [not 2018 as I originally typed] Form 8606 line 24 if line 23 is nonzero.  If it's not there, click the Continue button on the Your 1099-R Entries page and proceed to where TurboTax asks if you made any Roth conversions, the enter the taxable and nontaxable amounts that came from the traditional 401(k).  (Perhaps it was all nontaxable if you sent the taxable portion, if any, to a traditional IRA.)

d_holeton
New Member

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

Thank You Dmertz.  I need to be sure I understand.  Is "2018 Form 8606 line 24 ..." in your answer referring to the 8606 I completed in 2018 for my 2017 tax year?  If so, do I need to amend my tax submission for my 2017 taxes?  Thanks  
dmertz
Level 15

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

[Deleted]
dmertz
Level 15

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

Sorry, most people are preparing 2018 tax returns now.  I missed the fact that the Roth IRA distribution occurred in 2017.  Yes, I should have said your 2017 Form 8606.  If that form was incorrect, you need to amend your 2017 tax return.
d_holeton
New Member

If I opened a Roth IRA with a direct rollover from an after tax 401K in 2017, then made some withdrawals in 2017, should lines 22 and/or 24 on form 8606 have basis amts.?

Thanks for the clarification.  My 2017 form 8606 line 23 is non-zero, it looks like I'm off to amend my 2017 taxes.  Thanks again.
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