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riram
New Member

The program is showing that I owe taxes from my state on Roth IRA distributions. Is this an error in TurboTax?

The program is showing that I owe taxes from my state on Roth IRA distributions. Is this an error in TurboTax?
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2 Replies
RobertB4444
Employee Tax Expert

The program is showing that I owe taxes from my state on Roth IRA distributions. Is this an error in TurboTax?

When you entered the 1099-R into TurboTax what code was in box 7?  

 

In addition, was this an early distribution from your Roth IRA?  If so there may have been penalties even if the amount issued wasn't taxable.

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riram
New Member

The program is showing that I owe taxes from my state on Roth IRA distributions. Is this an error in TurboTax?

Thanks for your reply, it’s much appreciated. My distribution from my Roth IRA was fully qualified. I’m over 66 and I’ve owned the Roth for well over 20 years. The distribution code is “T”. I spoke with my account custodian and they ensured me that that was appropriate because they do not track the length of time of account ownership. After doing some more research, I found two sources that claimed that the problem is a glitch in TurboTax re: State of New Jersey returns. Learning this I switched to another program and I filed my taxes with them.

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