Where to add non-deductible IRA contributions for 2025

[hixen26]

My traditional IRA had $0 in it at the start of 2025. Then I made a $7000 non-deductible contribution to it and converted all of it to my Roth. Turbotax, however, is adding the $7000 to my income. I completed the form 5498 section for IRA contributions, and I did not come across a question about non-deductible contributions made in 2025. Turbotax only asks if I made non-deductible contributions in 2024 and what my basis was that year. 

Here are the questions I came across for the contributions section:

[baldietax]

make sure you've followed all the steps here.

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

If you converted to Roth then after the 1099-R input there are a series of questions you need to answer to identity the distribution as a Roth conversion.

You've answered the IRA contribution and if there is no question about electing the contribution as deductible, then it's assumed to be non-deductible.

Then check Form 8606 to see what is going on - should see Line 1 $7000, Line 2 $1979, Line 8 $7000 and the tax calculation on lines 9-12 etc.

I see you have a $1979 basis in the IRA, but $0 market value is this correct - I think this means you would have had some losses in the past?  If you have multiple IRAs the MV question applies across all Trad IRAa (not Roth) not just the account in which the backdoor Roth was done.  Turbotax implies you need Form 5498 for this question but you should get the MV from your year-end brokerage statements per guidance from IRS on Form 8606 Line 6.

https://www.irs.gov/pub/irs-pdf/i8606.pdf

[RogerD1]

While you provided a good amount of detail about the Backdoor Roth that you did, it's hard to determine exactly what is going on without more information.  If you made a a non-deductible traditional IRA contribution and converted it to a Roth IRA, that will not be a taxable event.

Check out How to report a backdoor Roth in TurboTax for instructions on what to do.  If this doesn't work for you, please reply back with as much detail as possible to enable us to better help you.

[hixen26]

Thank you for everyone's responses @RogerD1 @baldietax 

Regarding the $1979 total basis in 2024, I actually made a mistake there. I was looking at box 2 of my 2024 tax form 8606, which was $1979. As I understand, box 2 is for the total basis at the start of 2024. But I should have been looking at box 14, which is the total basis at the end of 2024. And that basis was $0 for me because I had converted all of the money in my traditional to a Roth that year as well. 

I just previewed my 1040 after entering everything. I saw that box 4a contained the total IRA distribution and 4b contained the expected taxable amount. The taxable amount excluded the non-deductible contribution made to my traditional IRA. So it seems that everything is fine now. I was just concerned that there might be an issue because I was not directly asked about non-deductible contributions made in 2025, as the instructions here explained.

@baldietax I'm not yet sure how my 2025 form 8606 will look, but on my 2024 form 8606, I noticed that line 8 is $0 while line 16 shows the total amount I had converted to my Roth for that year. I'm assuming that this is normal based on the answer to this question. Lines 13 and 15c have asterisks next to them on my 8606 from 2024.