How do I enter rollover from after-tax 401K split between Roth IRA and regular IRA ?

[getsaurabhgoel]

I had made after-tax contributions to my fidelity 401K account. After about a year, I rolled over the after-tax contributions to my Roth IRA account ("mega backdoor Roth IRA"), and the investment gains on those contributions to a regular IRA (to defer paying taxes on them). 

I am unable to figure out how to enter this information through the 1099-R section on turbotax online. It doesn't seem to support an option for indicating that part of the rollover is non-taxable (the Roth IRA portion) and part is tax deferred (regular IRA portion). 

Thanks.

[DanaB]

What was the code in box 7?

[getsaurabhgoel]

'G'

[dmertz · Accepted solution]

You must split the code G Form 1099-R into two, one for the after-tax portion (which will include the box 5 entry) rolled over to the Roth IRA and another for the pre-tax portion rolled over to the traditional IRA.  The dollar amounts on these two Forms 1099-R must total to match the original.  The rest of the information on the original Form 1099-R will be duplicated on both of the entered Forms 1099-R.

[getsaurabhgoel]

Thanks very much. Your suggestion makes total sense. I was able to enter the information in Turbotax and the return forms look good!

[GiancarloJulie]

I am confused as to how to enter this into TurboTax.  Where can I find step-by-step directions?

[DanaB27]

Please follow these steps to split you Form 1099-R:

1. Click on "Search" on the top right and type “1099-R” 
2. Click on “Jump to 1099-R”
3. Enter the first 1099-R for the rollover into the traditional IRA:
   1. Box 1 Enter amount send to traditional IRA
   2. Box 5 blank
4. On the "Did you move this money from a 401(k) to a Roth 401(k)?" screen answer "No"
5. On the "Did you move the money to a Roth IRA?" screen answer "No"
6. Enter a second 1099-R for the conversion to Roth IRA:
   1. Box 1 Enter amount send to Roth IRA
   2. Box 5 enter amount listed on Form 1099-R
7. On the "Did you move this money from a 401(k) to a Roth 401(k)?" screen answer "No"
8. On the "Did you move the money to a Roth IRA?" screen answer "Yes"

@GiancarloJulie