I neglected to file my non deductible IRA contributions on an 8606 for many years ....Is there anything I could do now???

brb408wpb, have you made any distributions or Roth conversions from your traditional IRAs?  If not, nothing needs correcting.  Although you probably should have previously included on line 2 of Form 8606 an adjustment for the after-tax money rolled over from the 401(k), you can do that on the next Form 8606 that you file as long as you have not made any distributions or conversions prior to 2019.  Such an adjustment requires your tax return to include an explanation statement describing the adjustment.  Your year-end balance in traditional IRAs is only relevant to determining the taxable amount of distributions and conversions.

If you have made distributions or Roth conversions prior to 2019 after establishing basis in nondeductible traditional IRA contributions and did not prepare Forms 8606 correctly, the corrections might be rather complex.

If your Forms 8606 did not include on line 2 the previous year's Form 8606 line 14 amount, that's another problem that will need to be corrected.

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@AG2020 wrote:

Hi,

I read through the conversation but not clear for my situation so hoping somebody can help!

 

Made non-deductible contribution to traditional IRA for tax year 2011. Since then no distribution , no additional non-deductible contributions and no Roth conversions. At the time CPA forgot to file 8606. I do my own taxes now via Turbotax.  What do I need to do now? Is it necessary to file 8606 for 2011?

 

Thanks!

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Yes.   Without a 8606 you will loose the ability to be able to use the 2011 non -deductible contribution to help offset tax liability.

You can download the 2011 8606 here:

https://www.irs.gov/pub/irs-prior/f8606--2011.pdf

https://www.irs.gov/pub/irs-prior/i8606--2011.pdf

You  can attach a request to waive the $50 penalty for failing to file the 8606 when due.

@BBDTx2 

Use Form 1040-X to change or add information on an already filed tax return.
The Form should have been attached to your original Form 1040.

It's been posted here that IRS has been sending back standalone forms and asking for 1040-X.

It costs you nothing to report the missing 8606 on 1040-X.
If you aren’t changing any dollar amounts you originally reported, you don't have to do column A B C.
You aren't changing any dependents.

Just fill out the top and Explanation Part III

The blank form in fillable PDF format and its instructions are available at www.irs.gov.
For several years back anyway.
you would need 1040-X for each year.

The policy of IRS to apply the penalty, I can't comment.
I've never seen any post here that the IRS charged the $50.
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I've always argued to put the missing total prior years basis on the current year form 8606 and
send in one form and be done with it.
I get a lot of pushback here on that suggestion.
Use your own judgement.
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From 2017 IRS Pub 590A
"Failure to report nondeductible contributions. If you
don’t report nondeductible contributions, all of the contributions
to your traditional IRA will be treated like deductible
contributions when withdrawn. All distributions from
your IRA will be taxed unless you can show, with satisfactory
evidence, that nondeductible contributions were made. [my italics added]"