We’ll, I was so happy to finish and file my taxes today using TurboTax, but now kicking myself after discovering an error on my and spouse’s 8606's. We both did very small Roth conversions this year for purposes of meeting a minimum investment amount required to keep a fund that we had previously opened via a small in kind Roth conversion last year. When entering the information (my after tax basis, total value of IRA’s etc.) in the Retirement income section of TurboTax, the taxable amount was correctly populated and so I assumed that my pro-rata amount was correctly handled. Low and behold, I just noticed that the 8606 forms are completely blank except for the actual amount of the Roth conversions and my taxes were calculated on the full amount of the conversion. Seems like a bug in TurboTax. I really don’t care this year as it only cost me about $15 in additional taxes, however I believe it may be significant enough to care when we do our larger conversions in future years (and also start RMDs).
Question, is the only way to correct the 8606’s at this point to file an amended return? Or can I just pay the extra taxes this year and when we do the larger conversions we file the 8606 using the nondeductible contributions remaining as of the last time we filed 8606 that were populated correctly, essentially skipping the 8606 for 1 year and then resuming it?
Question, is the only way to correct the 8606’s at this point to file an amended return? Or can I just pay the extra taxes this year and when we do the larger conversions we file the 8606 using the nondeductible contributions remaining as of the last time we filed 8606 that were populated correctly, essentially skipping the 8606 for 1 year and then resuming it?
Statistics: Posted by brockmari — Sun Feb 18, 2024 9:45 pm — Replies 1 — Views 174