Here’s the form 8606 that was filed:You are going to have to tell us which "basis" you are talking about.What I’m trying understand the purpose of 8606 part II. Is that for the IRS to track the basis for Roth conversions ? My CPA is insisting that we don’t need to amend or refile anything and that we track the basis ourselves. My only concern is that does the IRS use Part II to track basis and will it cause a headache when I start withdrawing from my Roth or anything else in future.
My answer = your Roth IRA basis
toddthebod's answer = your traditional IRA basis
And this could be a miscommunication between you and your CPA as well...you may have asked about one basis and CPA gave you answer for the other basis. Your CPA's basis sounds like Roth IRA basis to me.
If you have more questions, it would be helpful to tell us what is on every line of the 8606 form (1 - 18). You can just list the lines with numbers on them.
Lines 1,4,5,13 -> 6500
Line 15a, 15c -> 1
All else is blank (like 14 and 15b are 0) so I’m even wondering where the IRS thinks the 1 (interest) came from since line 12 is 0.
Line 4b on the 1040 contains $1 (which is the interest).
Is this 8606 going to be a problem?
My guess is I’m trying to figure out what the IRS tracks. With Part II missing completely in this scenario would the IRS think I have 6500 in my IRA or would they think I have 6500 less in my Roth.
Since it’s a backdoor roth at the end of 2023 the IRS should think that I have 0 in my IRA and +6500 in my Roth. Now I’m tracking that through Fidelity and Vanguard as they track the basis of each based on my contributions (my IRA always 0, never have an balance IRA to avoid pro rata issues - only have 401k and Roth IRA), so everything in my Roth IRA should be exempt from any taxes and since my IRA is 0, my basis should be zero. Did I miss anything here?
Statistics: Posted by hunnypuppy — Sat Oct 18, 2025 7:34 pm — Replies 90 — Views 13929