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New Member
posted Jun 5, 2019 4:51:22 PM

We withdrew $25,000 from a IRA 7/12, 8/22 $25,000 was funded back into the IRA from a Roth IRA, How do I confirm that the $25,000 is not being taxed?

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1 Best answer
Level 15
Jun 5, 2019 4:51:35 PM

After you enter the Traditonal IRA 1099-R in Wages and Income, Retirement; there are questions. One of them asks about rollovers/repayments.

The TT Income Summary will still show just the gross amount; that is only FYI. Look at the actual tax return.

10 Replies
Level 15
Jun 5, 2019 4:51:24 PM

Please explain.  You cannot fund a Traditional IRA with Roth IRA money.

New Member
Jun 5, 2019 4:51:25 PM

I The Internal Revenue Service considers return of funds to the account within 60 days a tax-free rollover.

New Member
Jun 5, 2019 4:51:26 PM

I verified that Turbo is treating it as a taxable amount by deleting 25,000 from the 1099 and it changed from owing $ to getting a refund

Level 15
Jun 5, 2019 4:51:28 PM

Oh, so the 7/12 withdrawal was from a Traditional IRA?

New Member
Jun 5, 2019 4:51:29 PM

Yes,

New Member
Jun 5, 2019 4:51:30 PM

Could  Box 7 of 1099-R show wrong code? 1099 Distribution code 7 (Normal distribution)

Level 15
Jun 5, 2019 4:51:31 PM

I am confused. You took money out of a Trad IRA, then from a Roth IRA, and then put money back into the Trad IRA. Why didn't you just take the money from the Roth in the first place?

Were you supposed to take a Required Minimum Distribution (age 70.5+) in 2017?

New Member
Jun 5, 2019 4:51:33 PM

Timing of liquidating stocks in IRA required taking from Roth, no RMD for 2017.

New Member
Jun 5, 2019 4:51:34 PM

I re-entered the 1099 info and confirmed the refund amount up top. Solved!  Thks

Level 15
Jun 5, 2019 4:51:35 PM

After you enter the Traditonal IRA 1099-R in Wages and Income, Retirement; there are questions. One of them asks about rollovers/repayments.

The TT Income Summary will still show just the gross amount; that is only FYI. Look at the actual tax return.