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You will have retirement follow-up questions during the state interview. Please check your selection on the “What kind of retirement income do you have from Pennsylvania?” screen during the state interview. Then on the “Tell Us About Your Retirement Income” screen you must enter your basis.
“The conversion of a traditional IRA to a Roth IRA is generally not taxable. That is, monies transferred from a traditional IRA to a Roth IRA via conversion (whether by a trustee-to-trustee transfer or a rollover within 60 days) are generally not subject to Pennsylvania personal income tax.” (PA DOR)
Same problem here at first. TT should take care of this automatically as info gets transferred from Fed 1040. I don't know all the other possibilities but here's what seems best: If you contributed $6000 of "after tax money" to trad IRA, didn't or couldn't take deductions due to income limits, and that entire balance was converted to Roth IRA, then make sure your basis on the PA-40 is $6000. The default value TT inputs is $0, which wrongly inflates your PA tax due. Basis is just the term for money invested that's already been subject to income taxes and nobody wants to be taxed twice.
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