Use Premier Desktop - not ID Roth IRA conversion (1099-R Code 7) – 1040 line 4a blank & no 8606. No “what did you do” conversion Qs; B4 blank/locked. How to fix?

[juliehni]

1099-R: Box 1 = xx,233 Box 2a = xx,233 Code 7, IRA box checked Fully converted to Roth in 2025; No nondeductible contributions or prior basis. Issues: No “What did you do with the money?” for 1099-R questions; 1099-R worksheet B4 (conversion) is blank/locked; Form 1040: 4a blank, 4b = $xx,xxx; No Form 8606 Questions: Is this correct for the conversion? Should B4 stay blank? Why no conversion question with Code 7? Any need to force TurboTax to mark it as conversion? Want to Confirm no IRS match or how to fix these? Thanks!

[baldietax]

what questions are you getting after the 1099-R input... the "what did you do with the money" question flow changed for 2025... you should get a question page for unusual situations, then this question page:

Tell us if you moved the money through a rollover or conversion

We need to check if you moved any of this money into another retirement account (or returned it to the same account). In some cases, this can lower your tax liability.

I rolled over some or all of it to an IRA or other retirement account within the time limits (normally 60 days)

converted some or all of it to a Roth IRA

I did a combination of rolling over and converting some or all of this money

I didn't roll over or convert this money

[juliehni]

Thanks for your reply. 

There is no Qs at all after checking the unusual situation. It just finished the 1099R section.  Not sure why TurboTax did not treat this as a conversion from IRA to Roth IRA, but a normal distribution.  How to fix it?  How to trigger TurboTax to pop up this Q: Tell us if you moved the money through a rollover or conversion?  Is it a software flaw?  

Thanks again!  

[baldietax]

check the 1099-R input do you have the box checked for "taxable amount not determined".  make sure the 1099-R is input exactly as provided.

or, you might want to just delete the 1099-R and start over, especially if imported

[juliehni]

Thanks for your quick reply.  

I deleted the Form 1099 and I did key in (skip import) everything again in the 1099R: Box 1, 2a, check 2b - Taxable amount not determined, Box 7 Distribution code: 7,  Checked IRA/SEP/SIMPLE and box 15.  Still there is no conversation related Qs appeared.  How to fix it?  Is this a software flaw? 

[juliehni]

In addition, in the Form 1099 worksheet, the B4 conversion section is locked, checked B5 - in Red.  I think the TurboTax did not treat this as a conversion; but a normal distribution.  I am asking help to fix it please! How to trigger the conversion Qs after key in the 1099 R? 

 

[baldietax]

what happens after you hit "continue" from the 1099-R box input screen?

[baldietax]

ok not sure what would make this 1099-R seemingly ineligible for Roth conversion

@dmertz any ideas?

[dmertz]

line B4 will be blank if you indicated that the entire distribution was RMD, was a QCD, or some combination of the two.  Neither an RMD nor a QCD can be converted to Roth.

[juliehni]

After manually filled in all the required information in the 1099R, it came up the RMD Q.  We did the RMD first (in March,2025) and then IRA to Roth IRA conversion (Dec, 2025).  Why did TurboTax treat the amount as normal contribution, not the conversion?  There is NO any Qs ask for the purpose of the contribution,  nor the conversion Q.  Can you please help how to trigger the Conversion?  Thanks! 

[CatinaT1]

I would delete the 1099-R all together along with the 1099-R Summary Worksheet.

To fix this and trigger Form 8606, you must change how you answer the RMD screen for the conversion money.

Even though you had an RMD for the year, if this specific 1099-R represents the conversion you did in December, that specific money was not the RMD (since you already satisfied the RMD in March).

1. Go to the 1099-R entry for your conversion.
2. Follow the screens until you see: "Was this a withdrawal of a Required Minimum Distribution (RMD)?"
3. You must select "No, none of this was an RMD" (or "This money was not an RMD").
4. Note: If this 1099-R includes both your March RMD and your December conversion, select "Only part of this money was an RMD" and enter only the March amount.
5. Immediately after this, the software should "unlock" the screen you've been looking for: "Tell us if you moved the money through a rollover or conversion."
6. Select "I converted some or all of it to a Roth IRA."

Once you complete that flow, the software will correctly map the data:

• Form 1040, Line 4a: Should now show the Total Distribution (it will no longer be blank).
• Form 1040, Line 4b: Should still show the Taxable Amount.
• Form 8606: TurboTax will now generate Form 8606. Specifically, Part II will be filled out to report the conversion.
• 1099-R Worksheet B4: This will now populate with your conversion amount and the "Red" error on B5 should disappear.

Line 4a was blank because per IRS instructions, for a simple IRA withdrawal (like an RMD), you often leave 4a blank and only fill 4b. However, for a conversion, the IRS requires the total on 4a and the taxable part on 4b. By answering "No" to the RMD question, you are telling TurboTax to follow the conversion reporting rules instead of the RMD rules.