Form 8606 is missing IRA distribution - Not Backdoor Roth Related

[love-the-irs]

Form 8606 is missing IRA distribution data entered into Turbotax. Note – this does not relate to a backdoor Roth.

Re: Turbotax online version.

An IRA distribution was reported on a 1099-R (distribution code 4, IRA box checked). The 1099-R was entered into TurboTax, and the distribution is included as taxable income (line 4b of the 1040).

Form 8606 was generated by Turbotax. Line 7 is zero. Line 7 should include the traditional IRA distribution. Line 8, Roth IRA conversions, is correct. Since the IRA distribution is omitted, the nontaxable portion of the IRA distributions is understated. (line 13 of 8606)

What updates are required to ensure Form 8606 captures the IRA distribution income?

[ReneV4]

It may not be due to updates, but to how TurboTax handles an inherited IRA (Code 4) versus your personal IRA.

Typically, an inherited IRA is not automatically included in Line 7 of your Form 8606 because the IRS requires that distributions from an inherited IRA be kept separate from your own.

Therefore, verify that the IRA was/was not inherited. If you answered "Yes" it was, then you can manually enter the amount that is taxable by following the prompts.

In this case, you will need to complete a separate Form 8606 for the inherited IRA and manually calculate the taxable portion yourself, then enter that amount when prompted.

You can download a blank copy of Form 8606 from the IRS website here. 

Note, since the TurboTax Online version does not currently support attaching documents, you will need to either mail your complete return with a copy of your printed and handwritten Form 8606, or e-file your return without it and mail it separately.

If you choose to mail it separately, ensure it is signed and dated. Additionally, you should include your social security number and "2025 Form 8606" at the top. Locate your IRS mailing address by clicking here.

However, if you are the owner and not the beneficiary and this was not an inherited IRA, temporarily change the Code in Box 7 to Code 7 to verify that the amount populates.

Note: This is only to verify that the amount populates. Do not permanently change the Box 7 Code in your original Form 1099-R.

You will need to request a corrected Form 1099-R if it is not the correct code.

[love-the-irs]

Thank you for your response and support.

Non deductible contributions were made to the Inherited IRA, and I will manually create and send form 8606 (Turbo tax will not support).

Turbo tax associated nondeductible IRA contributions with my Traditional IRA, a portion of which was converted to a Roth in 2025. This is reflected in the 8606 created by TurboTax. This is not correct; there is no basis in the Trad IRA and 100% of the Roth conversion is taxable. 

What TT update is required to remove/zero out any nondeductible contributions or basis in the Trad IRA, and delete the form 8606 created in error? I am unable to identify the update needed to correct this issue.

Feedback: 1. The online version of TurboTax is very difficult to navigate. 2. TurboTax should support non deductible contributions in inherited IRA's. 

Thank you again for your assistance. 

[dmertz]

Duplicate question also addressed here:

https://ttlc.intuit.com/community/retirement/discussion/form-8606-missing-ira-distribution-data-not-...

[love-the-irs]

Thank you.

What Turbotax update is required to remove/zero out any nondeductible contributions or basis in the Trad IRA, and delete the form 8606? I am unable to identify the update needed to correct this issue.