Traditional 401k rollover to Roth IRA

[limegreen18]

My husband rolled hit Traditional 401k over to a Roth IRA. (the investor skipped the middle part where the funds go into a traditional IRA first and then converted to a Roth). My question, is there a way to input this into the online version? What I am getting now is that i have an excess contribution to my IRA which is not the case since this is a rollover. Plus, we have to pay taxes on this "additional" income but my return is not reflecting this. Any ideas or is the only answer to go to a CPA and have them file my taxes?

[VolvoGirl]

You do not enter it as a new IRA contribution under Deductions & Credits.  Just enter the 1099R. What code is in box 7?  @dmertz 

[limegreen18]

Distribution Code is correct as G (thankfully)

Thank you for that answer! I will take it off. My only other issue is that taxes on the funds. I am worried that they are not correct unless my math is incorrect/i did a much larger deduction than needed. 

[VolvoGirl]

You might still have a problem.  You need to pay the tax on it when you convert to a ROTH.  Need to wait for dmertz to reply. He's our go to person.

The whole amount needs to show up on 1040 line 4d as taxable income.  After you entered the 1099R did you answer all the follow up questions?  It may not ask you the right questions if it is code G for Direct Transfer.

[limegreen18]

It is listed as taxable income in the pension and annuity distributions section under the retirement income results page. It is also listed under my income section with the 1099-R. Am I ok in assuming that this is correct then? Not to beat a dead horse here but you stated to leave this contribution out of the deductions and credits section. So I disregard the 5498 form with this rollover contribution? Again, I apologize, I just want to make sure I understood correctly.

[VolvoGirl]

That review screen just shows the gross amounts, not the actual taxable amount.  You need to look at the actual 1040 return.

Yes ignore the 5498.  Keep it with your records.  

You can (and should) preview your return.   Go to TAX TOOLS on the Left side.
(You might have to click a little to the left of "Tax Tools" to make it open

Then click on TOOLS
Then View Tax Summary (first link in the Tools Center box)
Then Preview My 1040 on  the Left side again

If you want to see all the forms, schedules and worksheets you have to pay any fees first.      

https://ttlc.intuit.com/community/accessing/help/how-do-i-preview-my-turbotax-online-return-before-f...

[dmertz]

It looks right since all all of the pension and annuity income appears to have been included in taxab;e income.  You can confirm this by seeing the full amount of the code G distribution being included on Form 1040 line 4d.

This rollover is not a regular IRA contribution.  Only regular IRA contributions are to be entered under Deductions & Credits.

[limegreen18]

Thank you for showing me where to find the 1040 form! It does show up correctly under line 4D as a rollover as well as everything else. I wish I would have known about this sooner, this is much easier for me to see everything. It looks like I just overcompensated for taxes owed, which is a good thing! Thank you both for all your help on this! You have been lifesavers 🙂  

Have a great rest of your day!