IRA to Roth in Dec back taxed to start of year

Forum|Forum|11 months ago
April 23, 2025
1 reply
0 views

I converted IRA to Roth at the END of the Year (Dec) and paid the taxes owed fully.

Yet it appears that Turbo Tax does not ask when the conversion was done but calculates BACK taxes owed for each quarter of the year with a penalty for underpayment of taxes. Spreads it across the year. This does not seem right. One does not know until later in the year if one should do conversions… so why the back owed taxes? .. Turbo Tax should ask when the conversion was done and calculate taxes due accordingly. Thx.

Ask the Experts - Amend - April 2025

fanfare

Employee

Withholding is assumed to be evenly paid, by default.

Use Form 2210 Schedule AI to specify more information about your action and when it occurred.

This complicated form may or may not reduce or eliminate your penalty.

@gomes_f

SharonD007

To try to reduce or eliminate it, review the TurboTax article Why am I getting an underpayment penalty?

For more information, refer to the TurboTax help article Guide to IRS Tax Penalties: How to Avoid or Reduce Them for tips to use in the future.

You can contact the IRS to request a one-time abatement of your underpayment penalty. For individual tax returns, call 1-800-829-1040, 7 AM - 7 PM Monday through Friday local time.

@gomes_f

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"