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Level 1
Feb 25, 2020 8:57 PM UTC
Question

This isn't a tax question, it's an algorithm/software question. Non-deductable IRA full conversion to ROTH IRA should be non-taxable. Why is Turbotax software taxing it?

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2 replies

fanfare
Level 15
Feb 25, 2020 9:07 PM UTC

If your IRA has grown at all, (i.e. earnings) you will have to pay tax on those earnings upon doing a full conversion.

macuser_22
Alumni - Champ
Alumni - Champ
Feb 25, 2020 9:13 PM UTC

You probably have not entered it properly.

 

When did you make the non-deductible contribution and for what year?

 

Did you enter that contribution in the IRA contributions section?

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**