1. contributed 7000 Trad IRA
2. converted to Roth right away with just 7000.02 balance
3. received 1099R
4. entered in TurboTax, TurboTax gives these on 8606 form
part I: all blank (no numbers filled)
Part II:
16: 7,000
17: 0
18: 7,000
It seems wrong that nothing is on Part I. When I manually fill, I will have the numbers for Part I.
If there is a * (asterisk) next to line 15 then the calculations were done on the "Taxable IRA Distribution Worksheet" instead of the 8606 lines 6-13. This worksheet is described in IRS Publication 590-B worksheet 1-1.
https://www.irs.gov/publications/p590b#en_US_2020_publink1000270091
That would indicate that you failed to report the $7,000 contribution and specify that it shoukd be non-deductible. It should be on the 8606 line 1.
Enter IRA contributions here:
Federal Taxes,
Deductions & Credits,
I’ll choose what I work on (if that screen comes up),
Retirement & Investments,
Traditional & Roth IRA contribution.
OR Use the "Tools" menu (if online version under My Account) and then "Search Topics" for "ira contributions" which will take you to the same place.
Thank you for the tip. After I entered contrbution, now it shows up in Part I. The problem is that line 8 is still blank. Line 8 is "Enter the net amount you converted from traditional, SEP, and SIMPLE IRAs to Roth IRAs in 2020. Also enter this amount on line 16........."
If there is a * (asterisk) next to line 15 then the calculations were done on the "Taxable IRA Distribution Worksheet" instead of the 8606 lines 6-13. This worksheet is described in IRS Publication 590-B worksheet 1-1.
https://www.irs.gov/publications/p590b#en_US_2020_publink1000270091