Look for Input Help on IRA and Roth-IRA

jww2018 · Feb 28, 2021 11:41:31 AM

I did a search and found some relevant information on this topic. But the generated forms are not what I expected. Can people help with the correct inputs in TurboTax? Here is the situation. I contributed two of $6k to my Roth-IRA for 2019 and 2020 contributions in the middle of 2020. Later in 2020 (after Oct.15 deadline), I realized that my income was not eligible for both years. So, firstly I withdraw $6000 for the 2019 contribution (got both my 2020 1099-R form with code J and 2019 5498 form). Secondly, I recharacterized ~$6100 (~$100 earning) to a new T-IRA, and then convert it back of ~$6200 ($100 growth in T-IRA) to roth-IRA. I received both 1099-R forms with code N and 2. Three 1099-R forms in total. My understanding is I have to pay %6 * 6k ($360) penalty for 2019 (ignoring the earnings). Question 1. Do I manually add code P along with J to trigger the 6% penalty in TurboTax? Question 2. Do I need to amend my tax return in 2019? Or can the form 5329 in 2019 be combined with 2020 5329 filing? Question 3. For the recharacterization and conversion in 2020, how do I deal with the $100 excess contribution (earning) in T-IRA and the $200 excess contribution (earning) in Roth-IRA? Thank you in advance for your inputs.