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April 9, 2021
Question

TT 2020 not including soc sec and roth conversion in Form 8582 MAGI

  • April 9, 2021
  • 1 reply
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I have a rental property loss. My MAGI is over $150k but Form 8582 line 7 (MAGI) does not including taxable social security benefits and taxable IRA distributions (Roth conversion) generating a much lower MAGI and giving losses allowed from my passive activities. In EasyStep, the "Picture of your 2020 income" page listed the IRA distributions and Social Security correctly. Only when you go into Forms and check Form 8582 you can see the error. On the Line 7 page, Taxable IRA distributions has no amount and it won't let you enter one. There is no Social Security line and Other income is blank and won't accept entry.

1 reply

April 9, 2021

I think I fixed my problem. We had IRA distributions that were QCDs. When I changed them to not RMDs, the taxable IRA distributions (Roth conversion) showed up. That bring us over the limit to allow passive losses. But still don't know why no Social Security income is in Form 8582 Line 7 MAGI worksheet.