" so total of $7025 was recharacterized. "
$7,000 was recharacterized. the original amount to the first IRA you report as contribution to the second IRA, earnings move but that is ignored.
You will get one 1099-R per account showing your total conversion(s) during the year.
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to report a non-deductible contribution, Form 8606 must be attached.
OR
If your IRA contribution is totally deductible take the deduction and pay tax on the whole conversion.
The final tax consequence is the same either way.
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You will get a 1099-R for recharacterization but that can be discarded once you enter the Traditional IRA contribution of $7,000.
@Darenl