topic form 8606 basis issue in After you file

form 8606 basis issue

newbie1985 — Wed, 11 Feb 2026 03:30:03 GMT

In 2022, I contributed $6,000 to a traditional IRA and then converted $5,998 to a Roth account (the $2 difference was because my brokerage account charged me some fees from the traditional IRA account that they probably shouldn't have, but that I could never get reimbursed for). Based on that, the line 14 on my form 8606 from 2022 ("your total basis in traditional IRAs for 2022 and earlier years") is $2. I prepared and filed my taxes with TurboTax Premier (Desktop version).

I am now working on my 2023 taxes and TurboTax says that the basis it has transferred from prior years taxes is actually zero, and it requests a brief explanation of why I am changing it to $2.

1- any idea why the discrepancy between what TurboTax says it transferred and my form 8606, or how to find that out?

2- should I actually write an explanation, if nothing has really changed?

3- is that $2 basis something I will have to keep carrying on forever on my 8606 forms?

thank you!

Re: form 8606 basis issue

fanfare — Thu, 15 Feb 2024 05:03:22 GMT

It's best to let that $2 disappear and be done with Form8606

But the form is only sent if you do something.

If you expect further conversions, keep any significant basis.

but $2 is not worth the hassle with TurboTax.

Re: form 8606 basis issue

newbie1985 — Thu, 15 Feb 2024 11:25:22 GMT

Thanks!

Unfortunately I will continue to do backdoor Roth conversions and will need to keep filing form 8606.

Could I just file it with zero for basis (since $2 is such a small spine of money)?

Re: form 8606 basis issue

DanaB27 — Wed, 21 Feb 2024 12:25:54 GMT

If you are plan on doing backdoor Roth every year and you verified that your 2022 Form 8606 line 14 shows the $2 basis then just state that the 2022 Form 8606 line 14 shows $2.