To report a Roth IRA distribution, begin by entering the data from your Form 1099-R (gross amount, taxable amount, Box 7 code). Then follow the instructions for Form 8606 to compute how much (if any) is taxable or subject to penalty. Finally, if the distribution incurs the 10% early-distribution penalty (or a recapture) and no exception applies, enter details for Form 5329.
On smaller devices, click the menu at the top left corner of your screen, then make your selection.
Expand the Retirement & Social Security section.
Click Add beside Distributions from IRA, 401(k), Pension Plan.
Search for your financial provider or click Enter 1099 Manually at the bottom right.
Complete the rest of the interview process for Form 1099-R.
Click Income on the left again.
Expand Retirement & Social Security.
Click Add beside Nondeductible IRAs (Form 8606).
Complete the remaining interview to finish adding your information.
If you need to add info for Form 5329, click Taxes & Miscellaneous on the left.
Expand Additional Tax Payments.
Select Add beside Additional Taxes on Qualified Retirement Plans.
Complete the interview process.
Classic Navigation
From within your TaxAct return, click Federal.
On smaller devices, click the menu at the top left corner of your screen, then make your selection.
Click the Retirement Plan Income drop-down, then click IRA, 401(k), and pension plan distributions (Form 1099-R).
Click + Add Form 1099-R to create a new copy of the form.
Complete the rest of the interview process.
Click Federal again.
Click the Retirement Plan Income drop-down and choose [Taxpayer/Spouse Name] Nondeductible IRAs (Form 8606).
Continue with the interview process to enter your information, including when you reach the screen with fields for the year in which you converted to a Roth IRA, then enter amounts from Form 8606 for the applicable year.
If you need to add info for Form 5329, click Federal again.
Click the Retirement Plan Income drop-down.
Click [Taxpayer/Spouse Name] Additional taxes on qualified plans (Form 5329).
Click Review on the Early distributions from a retirement plan row, then continue with the interview process to enter all the appropriate information.
Desktop
From within your TaxAct return, click Federal.
Click the Retirement Plan Income drop-down, then click IRA, 401(k), and pension plan distributions (Form 1099-R).
Click + Add beside Form 1099-R to create a new copy of the form.
Choose Quick Entry or Step-by-Step Guidance and follow the steps to enter your details.
Click Federal again.
Click the Retirement Plan Income drop-down and choose [Taxpayer/Spouse Name] Nondeductible IRAs (Form 8606).
Continue with the interview process to enter your information, including when you reach the screen with fields for the year in which you converted to a Roth IRA, then enter amounts from Form 8606 for the applicable year.
If you need to add info for Form 5329, click Federal again.
Click the Retirement Plan Income drop-down.
Click [Taxpayer/Spouse Name] Additional taxes on qualified plans (Form 5329).
Click Review on the Early distributions from a retirement plan row, then continue with the interview process to enter all the appropriate information.
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