2024 Backdoor Roth Conversion impacting fed

bozlo — Wed, 26 Mar 2025 22:40:02 GMT

I followed that @DanaB27 mentioned.

Please review the following instructions to enter a "Backdoor IRA".

To enter the nondeductible contribution to the traditional IRA:

Login to your TurboTax Account
Click on "Search" on the top right and type “IRA contributions”
Click on “Jump to IRA contributions"
Select “traditional IRA”
Answer “No” to “Is This a Repayment of a Retirement Distribution?”
Enter the amount you contributed
Answer “No” to the recharacterized question on the “Did You Change Your Mind?” screen
Answer the next questions until you get to “Any Nondeductible Contributions to Your IRA?” and select “Yes” if you had a nondeductible contribution before this tax year.
Enter your basis in the Traditional IRA from your 2023 Form 8606 line 14 (if you had a basis in the prior year)
On the “Choose Not to Deduct IRA Contributions” screen choose “Yes, make part of my IRA contribution nondeductible” and enter the amount (if you have a retirement plan at work and are over the income limit it will be nondeductible automatically and you only get a warning and then a screen saying $0 is deductible).

To enter the Form 1099-R conversion:

Click on "Search" on the top right and type “1099-R”
Click on “Jump to 1099-R”
Click "Continue" and enter the information from your 1099-R
Answer questions until you get to “Tell us if you moved the money through a rollover or conversion” and choose “I converted some or all of it to a Roth IRA”
On the "Review your 1099-R info" screen click "Continue"
Answer "Yes" to "Any nondeductible Contributions to your IRA?" if you had any nondeductible contributions in prior years.
Answer the questions about the basis from line 14 of your 2023 Form 8606 and the value of all traditional, SEP, and SIMPLE IRAs

I have done a backdoor Roth IRA conversion for $30,282.40 ($26,500 is the basis cost).

But, my fed due is increased by $3,000 before I entered 1099-R.

In 1099-R,

Box 1a - $30,282.40

Box 1b - $3,782.40

Box 7 - 2

I clicked "Share my file with Agent" and My token number is 1295160.

Thanks,

Re: 2024 Backdoor Roth Conversion impacting fed

bozlo — Thu, 27 Mar 2025 14:30:04 GMT

@DanaB27 , appreciate if you check this.

Re: 2024 Backdoor Roth Conversion impacting fed

DanaB27 — Mon, 31 Mar 2025 13:35:53 GMT

I reviewed your return. Everything is entered correctly for the conversion and IRA contribution.

I cannot see why you balance due increased just before you entered the Form 1099-R. Generally, it is best to ignore the refund/balance due meter until everything is entered.

topic Re: 2024 Backdoor Roth Conversion impacting fed in Retirement tax questions

2024 Backdoor Roth Conversion impacting fed

Re: 2024 Backdoor Roth Conversion impacting fed

Re: 2024 Backdoor Roth Conversion impacting fed