Turbo Tax

[truck]

All is as expected till I enter my last 1099-R which is a Roth account for about $11,000.00.
Up until I enter that I owe a little under a thousand but after I enter it I owe $4,5XX.00 dollars? 
Is anyone else having a problem with Turbo Tax Delux?

[Gunney8]

Truck, are you saying you withdrew 11K from your Roth?  If so that is probably why the increase?  I believe (but no tax man here) that you will pay taxes on withdrawals, as deposits are pre-taxed..

[truck]

I thought I paid tax on the Roth money before I deposited it with the idea being it would be tax free when withdrawn after 59 1/2 years old.

[rkrcpa]

Truck,

It sounds like you missed a check box somewhere to tell the software that it is a qualified Roth distribution. Is the tax being calculated as though it is a regular IRA?

P.S. Nice to see the snow melt around here.

Rodney

[RK101]

Yup Truck. Every month I take a sum of money out of my annuity fund and yes it is taxed. I also pay tax on the money from my pension fund.

[adayrider]

That is why I pay a pro to do mine. Well worth the $100 and if I get an audit he goes with me.

[dohmixer]

I also ran into a problem this year with tax preparation software. I called the IRS and after 20-30 mins on hold was able to get my problem solved with one of their agents. Truck I sent you a PM.

[~JC~]

That is why I pay a pro to do mine. Well worth the $100 and if I get an audit he goes with me.

Exactly. ~JC~

[Scramjet]

Truck,

I am not a tax exepert but I have used Turbo Tax for a Roth distribution and it handled it correctly prior to retirement.  If the money was all interst earned it is fully taxable before 59 1/2.  After 59 1/2 is should be completely tax free for both the original contribution and capital gains or interst earned.  Go back through and look for a missed checkbox.  Maybe a spouse issue?

B

[truck]

I found out it has to do with owning a Roth for 5 or more years and box number 7 being marked with a T rather than a Q.
T means the bank I had it in last didn't know if I had any Roth for 5 years.
There was a question in TurboTax about having a Roth for so many years, guess I shouldn't have blown it off.
Oh well, I'll reenter all the info again.
Had to go back through all my broker statements to find out that I've had a Roth since 5/30/01.
Maybe I'll be OK after all.

[OLAK45]

Truck, I have a CPA do my taxes every year, and when my daughter has them done she sends them to me to sign and mail  in.

[truck]

Problem solved just by following the directions. Live but never learn.