Backdoor Roth Conversion Form 8086 2025 line 1 is not filled

[user17]

I did a Backdoor Roth conversion in 2025. Received 1099-R from Fidelity for $7000.01 in gross distribution and taxable amount $7000.01. I also have a 2024 8086 with $2 remaining at the end of 2024 line 14 shows $2. 

The 2025 8086 doesn't have any amount on line 1. $7000 shows up on line 8 and line 16. $2 is on line 17 and line 18 has $6998(line 16-line17) of taxable amount. Shouldn't line 1 have $7000.01? Why is the conversion getting taxed?

[ReneV4 · Accepted solution]

It appears that a piece of information is missing, in that you will need to input your Traditional IRA contribution of $7,000.

1. Go to Deductions & Credits to input the contribution first
2. Next, go to Wages & Income to input your Form 1099-R
3. When you reach, Any nondeductible contributions to your IRA?, answer Yes
4. Enter prior year basis (2.00)
5. Next, enter the value of all of your Traditional/SEP/SIMPLE IRAs on December 31, 2025. If you emptied the account for the conversion, enter 0

Doing the above will combine your new basis with our old basis, bringing your taxable amount down to 0.

[baldietax]

https://ttlc.intuit.com/turbotax-support/en-us/help-article/retirement-benefits/enter-backdoor-roth-...

[user17]

Thank You.

In the Deductions and Wages for T-IRA there is a question on whether I recharacterized the contribution and the amount. Somehow that had $7000. After removing that line 1 on 8606 got $7000 added and everything is back to normal