Level 3

Question

Backdoor Roth

Forum|Forum|3 months ago
March 24, 2026
4 replies
8 views

I am trying to show a backdoor roth conversion from a 1099-R traditional IRA distribution Code 2 and no matter what I do I'm getting an error. Can anyone give me a blow by blow of what I'm missing here? Happy to provide whatever details are needed.

ProSeries Professional

GodFather

Intuit Community Champion

Can you provide any information on what the error is. Have you done a "review" of the return to determine what the error is? A Code 2 indicates an exception to the 10% penalty, but the distribution is normally taxable.

Just-Lisa-Now-

Intuit Community Champion

Step one : Enter the IRA contribution, (hopefully its non-deductible or this doesnt work)

That non-deductible IRA basis sits on the 8606.

Now the client has the bank convert that IRA to a ROTH,

Get the 1099R for the conversion and the non-deductible IRA basis on the 8606 should make the conversion non-taxable.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

S

SteveD9Author

Level 3

This is what I did but it's populating Line 13 of the 8606 with an *. I believe it should be populating lines 8, 9, 10, 11 and 13 based on prior experience and other research.

Skylane

Intuit Community Champion

Jim has a good workflow

https://accountants.intuit.com/community/proseries-tax-discussions/discussion/backdoor-roth-on-proseries/00/253294#

If at first you don’t succeed…..find a workaround

S

SteveD9Author

Level 3

I tried Jim's way too and no matter what I get an amount on Line 13 with an *.

kobe22

Level 5

I believe it's not working for you because the form needs to be corrected to show code 7 or 1. If it has a code 1 make sure box 2a shows 0 as taxable amount.

S

SteveD9Author

Level 3

The 1099-R shows the full amount in Box 2A with the "taxable amount not determined" box checked. It's code 2. I believe that is correct. It was an early withdrawal of a traditional IRA. I tried what you said to do just in case and it does not populate the correct fields and puts the amount of the contribution on Line 14 of Form 8606 which is incorrect.

kobe22

Level 5

I'm trying to figure this out for a client, too. It will allow the conversion if the box IRA/SEP/Simple is checked and it populates on Form 8606. Otherwise, I don't know how to do it either. I also, check box B5 to indicate that it's a conversion.

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