TT has my taxable Roth conversion on Line 4a

Forum|Forum|5 years ago
February 26, 2021
1 reply
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The IRS indicates that, unless you have an exceptional situation (not the case with me), you should leave line 4a blank and enter the total distribution (from Form 1099-R, box 1) on line 4b.

TurboTax Online

Best answer by ThomasM125

I'm not sure why it is showing up like that. In the instructions to form 1040, it mentioned to use line 4(a) if you had a rollover. In any case, it won't affect your taxable income or tax and I can't imagine that the IRS would be concerned about it.

BillM223

Level 15

Just to confirm, you did not have any nondeductible amounts in that traditional IRA?

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caryncusaAuthor

Level 2

This message is to confirm that I did not have any nondeductible amounts associated with that traditional IRA.

caryncusaAuthor

Level 2

@caryncusa wrote:

I am happy to have received some replies regarding my situation.

It still seems to me that it is correct that, barring exceptions, the IRS says to leave line 4a blank & enter the total distribution on line 4b, but it’s not the end of the world that TurboTax does things differently.

Regarding the reply from ThomasM125, I take comfort in his reassurance where he says “it won’t affect your taxable income or tax and I can’t imagine the IRS would be concerned about it.”

Regarding the reply from macuser_22, I appreciate the suggestion regarding trying to re-enter the 1099-R. I tried revising exactly as suggested, and the result was the same.

What is in box 4a and 4b depends on several things that are exceptions.

Is there more than 1 1099-R?

What code is in box 7?

What did you do with the money? - keep it? Roll it back? Keep some and roll back the rest?

I had two 1099-R Forms: one 1099-R was for the Roth conversion that we have been discussing, and the other 1099-R was for a company pension that I receive.

For the 1099-R for the Roth conversion, the code in Box 7 is the number 7.

For the Roth conversion, all of the money went directly, without withholding any tax, from my traditional IRA account to my Roth IRA account as an in kind transfer.