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New Member
posted Jun 8, 2020 10:37:22 AM

Should I file Form 8606? I have a Form 5498 FY2018. I believe I need to file a Form 8606 (non deductible IRA contribution) with my 1040, but I'm uncertain.

As posted in the question, I have a Form 5498 for my SEP IRA accounnt which *I believe* my broker files directly with the IRS. I am not sure whether I also need to file 8606 with my 1040 or not.

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3 Replies
Level 15
Jun 8, 2020 11:12:24 AM

Edited

 

You said a SEP.   Was is a non-deductible contribution? (That would be uncommon).

 

Was is reported in box 12 on yiur W-2?

No 8606 is required for a normal SEP contribution.

New Member
Jun 8, 2020 11:40:11 AM

Thank you for your answer. I apologize if my original post wasn't sufficiently clear.

 

During year 2018 I made an employee contribution to my SEP IRA account. Since it was made with after tax funds, the contribution is non deductible. I see that my broker recorded the contribution with the IRA by the use of Form 5498, but I have not notified myself about this contribution to the IRS. The purpose of this question is to clarify whether I need to file Form 8606 or not, given the fact that my broker already filed a related form with the IRS.

Level 15
Jun 8, 2020 11:47:25 AM


@samakerman wrote:

Thank you for your answer. I apologize if my original post wasn't sufficiently clear.

 

During year 2018 I made an employee contribution to my SEP IRA account. Since it was made with after tax funds, the contribution is non deductible. I see that my broker recorded the contribution with the IRA by the use of Form 5498, but I have not notified myself about this contribution to the IRA. The purpose of this question is to clarify whether I need to file Form 8606 or not, given the fact that my broker already filed a related form with the IRS.


If you made an after-tax SEP contribution then it is treated the same as a non-deductible Traditional IRA and is reported on a 8606 form.

 

Per the 8606 instructions:

 

SEP IRAs
A simplified employee pension (SEP) is
an employer-sponsored plan under
which an employer can make

contributions to traditional IRAs for its
employees. If you make contributions to
that IRA (excluding employer
contributions you make if you are
self-employed), they are treated as
contributions to a traditional IRA and
may be deductible or nondeductible.
SEP IRA distributions are reported in
the same manner as traditional IRA
distributions.