Tax Software Recommendation

[COcheesehead]

That is my plan, although I'm not sure how to "fix it" yet.

I called Fidelity and the guy I spoke with told me that Fidelity does not provide tax advice. He recommended I download and complete Form 8606 - "Nondeductible IRAs". He handled the conversation in a very professional manner.

I printed the form 8606 and instructions. A summary review tells me it will take a while to clarify things.

I hope TT software will walk me through this process.

On a positive note, I'm retired so I have plenty time to do this the right way.

I think I remember a question in the interview in TurboTax about this subject. It may be a rather simple fix once you are in the program.
I have also had to do an amended return one year. TurboTax makes it super easy. You just fill out what has changed and send it off. Took me 15 minutes.

 

[Born2Fish]

Is everyone comfortable with providing a username and password for TurboTax to TDA and Fidelity?

I don't like to provide my password to ANYONE.

 

[RunningBum]

Is everyone comfortable with providing a username and password for TurboTax to TDA and Fidelity?

I don't like to provide my password to ANYONE.

They didn't require one for Vanguard. There was some unique number on the form they used, possibly with my SSN, which both sides already have. Maybe it's different for TDA and Fido.

 

[COcheesehead]

Is everyone comfortable with providing a username and password for TurboTax to TDA and Fidelity?

I don't like to provide my password to ANYONE.

Do you have activity notifications and transfer lockdown activated on the account? I assume everyone knows everything about me already and I set up a good defense to protect myself.

I have been downloading into TT from Fidelity for years.

 

[socca]

They didn't require one for Vanguard ...

TurboTax asked for my Vanguard login credentials to import VG "mutual fund" account info (what VG calls the 'old platform'). This wasn't necessary to import VG brokerage account info (what VG calls the 'new platform'). I converted from a "mutual fund" account to a brokerage account during 2022 so I had to import both types of info. I shouldn't have to do this for the 2023 tax year. I immediately changed my VG password after doing the import in case snoopy Intuit folks decide to have fun with my VG login credentials.

 

[Born2Fish]

Do you have activity notifications and transfer lockdown activated on the account? I assume everyone knows everything about me already and I set up a good defense to protect myself.

I have been downloading into TT from Fidelity for years.

I don't know what that means. I would like to do that.

I do require text message verification to my phone on login. Can't open account without supplying the text message.

 

[Born2Fish]

I spent a long time manually entering all of my data into TurboTax, entering Distribution Code "T" and the Gross Distribution.

TurboTax asks me several questions after I complete the 1099-R but does NOT find that the withdrawal is taxable. I am going to give it a break and look again in the morning.

 

[COcheesehead]

I don't know what that means. I would like to do that.

I do require text message verification to my phone on login. Can't open account without supplying the text message.

An activity notification is a text or email for any transaction in your accounts. I get them for credit card charges, odd logins, any changes to an address or phone number, transfers, etc. If anything happens in my account I am aware of it in seconds.
Transfer lockdown requires 2FA for anything to leave your account.

If you have 2FA to login normally, see if there is a check box to allow a private device to be viewed as “safe”.

 

[Born2Fish]

My wife bought Turbotax Premier for me.

I have done ok bumbling around but overall I find the software a bit of a cluttered mess. Of course, I expect it will become easier after more usage.

I entered the 1099-R information for the ROTH withdrawal. I printed a copy of Form 8606 with instructions and manually completed Form 8606 on paper.

Then I opened Turbotax form 8606-T. I manually entered all the data until I got to Line 22 (Line 22 contains the total Roth Conversions for all transaction years. I could not enter any data in that field that specifies the ROTH conversions I completed in Jan, 2022. So my numbers are off.

I'm stuck and haven't been able to find any support at Turbotax/Intuit.

 

[COcheesehead]

My wife bought Turbotax Premier for me.

I have done ok bumbling around but overall I find the software a bit of a cluttered mess. Of course, I expect it will become easier after more usage.

I entered the 1099-R information for the ROTH withdrawal. I printed a copy of Form 8606 with instructions and manually completed Form 8606 on paper.

Then I opened Turbotax form 8606-T. I manually entered all the data until I got to Line 22 (Line 22 contains the total Roth Conversions for all transaction years. I could not enter any data in that field that specifies the ROTH conversions I completed in Jan, 2022. So my numbers are off.

I'm stuck and haven't been able to find any support at Turbotax/Intuit.

I don’t understand your specific issue, but I just googled “TurboTax line 22 from 8606 T” and found all kinds of info. Maybe try that route.

 

[RetMD21]

They didn't require one for Vanguard. There was some unique number on the form they used, possibly with my SSN, which both sides already have. Maybe it's different for TDA and Fido.

My Vanguard brokerage import just required the account number and the "document number" which was printed on the 1099. Importing from another broker for a family member still required the login and password. Turbotax wouldn't allow filling the password field using password manager software or cut and paste which I found very annoying.

 

[ownyourfuture]

I used TurboTax deluxe from 2000 (Fidelity sent me a free copy) through 2018.
Don't remember why ? but I switched to H&R Block in 2019.
Completely satisfied.

 

[N02L84ER]

My wife bought Turbotax Premier for me.

I have done ok bumbling around but overall I find the software a bit of a cluttered mess. Of course, I expect it will become easier after more usage.

I entered the 1099-R information for the ROTH withdrawal. I printed a copy of Form 8606 with instructions and manually completed Form 8606 on paper.

Then I opened Turbotax form 8606-T. I manually entered all the data until I got to Line 22 (Line 22 contains the total Roth Conversions for all transaction years. I could not enter any data in that field that specifies the ROTH conversions I completed in Jan, 2022. So my numbers are off.

I'm stuck and haven't been able to find any support at Turbotax/Intuit.

Did you do a Roth conversion or did you do a Roth withdrawal? If you did a conversion, you do not fill in any of Part III (lines 19 - 25).

 

[Midpack]

I’ve been using TurboTax for over 20 years, and I don’t plan to switch. Just the transfer of info from year to year makes it worthwhile to me, including actual $ carryovers where applicable, non deductible TIRA basis, HSA, etc. I tried another package one year, and won’t go back - I think it was Tax Act but not positive.

https://financebuzz.com/taxact-vs-turbotax-vs-hr-block

 

[Born2Fish]

OK, thanks to all for your suggestions.

I took my time and worked right through things!

Pretty sure my lack of good sleep for several days didn't help.

Life is good.

 

[gt5059b]

I've been using TurboTax for over 20 years. I've been getting TT Premier for free from Fidelity for several years now. So not going to stop using it now.

 

[Born2Fish]

I've been using TurboTax for over 20 years. I've been getting TT Premier for free from Fidelity for several years now. So not going to stop using it now.

I used Turbotax up until I retired.

The first few years of retirement my taxes were very simple so I used the free online software.

This year was more complex and the free tax software was a PITA. So I am back with TT again!

 

[Yipper]

TT for over 30 years since the 3.5" floppy disk days. Only exception was two years using a local accountant due to some complexities in our tax situation. When I discovered some errors a year later in his calculations and hated the flippant attitude when discussing it with him drove me right back to TT and learning to handle the complexities myself with help from the forums and other online sources.

 

[GalaxyBoy]

I like HRB. I find the basic version does everything I need, including Roth conversions, sales of stocks, etc. I don’t blow that dough on the state version since my state uses federal AGI with a few modifications, so I set up a spreadsheet for my state tax return in about a half hour.

 

[Jerry1]

I like HRB. I find the basic version does everything I need, including Roth conversions, sales of stocks, etc. I don’t blow that dough on the state version since my state uses federal AGI with a few modifications, so I set up a spreadsheet for my state tax return in about a half hour.

One of the people I do taxes for has Pennsylvania income. PA has a website where you can fill out the forms and submit electronically. I wish every state had that. In Michigan, to electronically file, you have to use a third party (like TT) and it costs $20 to file. Only way around it is having a low income level and using one of the free tax prep options.

 

[Born2Fish]

Turbotax software has a bug in their software that determines taxable value of ROTH IRA Distribution with the following data.

2022*1099-R*
Box1: 53500
Box 2b: X (selected)
Box7: T

My data:

2020 2021 2022 Total

Roth Conversion basis 17200 30000 30000 77200



The TT Premier "easy step" software walks me through the query used to fill in the Form 8606.* It only asks for cost basis for*2020 and 2021.* So I end up with a total cost basis of 47200.* This leaves me with a taxable amount of $6300.

TT Easy step never asks me to enter a cost basis for 2022.* I dug around and found the worksheet they use for the calculations, and saw a field for “2022” Roth conversion but it is a “read only” field. I don't think the code is calling for the 2022 data.

I downloaded the IRS Form 8606 with instructions and I manually filled out the form.* It shows that I have $0 taxable.* All 53500 is tax free.

I used the Free online software and it also provided me with the correct results.

I tried 3 times to reach someone but kept getting cut off.

I can't figure how to align the data above.

I figured they would at least run a sample to test the code before issue to the public.

 

[Born2Fish]

Turbotax software has a bug in their software that determines taxable value of ROTH IRA Distribution with the following data.

2022*1099-R*
Box1: 53500
Box 2b: X (selected)
Box7: T

My data:

2020 2021 2022 Total

Roth Conversion basis 17200 30000 30000 77200



The TT Premier "easy step" software walks me through the query used to fill in the Form 8606.* It only asks for cost basis for*2020 and 2021.* So I end up with a total cost basis of 47200.* This leaves me with a taxable amount of $6300.

TT Easy step never asks me to enter a cost basis for 2022.* I dug around and found the worksheet they use for the calculations, and saw a field for “2022” Roth conversion but it is a “read only” field. I don't think the code is calling for the 2022 data.

I downloaded the IRS Form 8606 with instructions and I manually filled out the form.* It shows that I have $0 taxable.* All 53500 is tax free.

I used the Free online software and it also provided me with the correct results.

I tried 3 times to reach someone but kept getting cut off.

I can't figure how to align the data above.

I figured they would at least run a sample to test the code before issue to the public.

I am going to try to get a refund. Pretty crap that they issue "new year" software without testing revisions.

Our group here is pretty savvy but I bet a lot of their users would never catch the error.

 

[Jerry1]

I wonder if there’s an error or if there’s just some box buried somewhere that you need to check. Of course it’s not your job to beta test their software but they do have a user site where you could report it. At least that way you wouldn’t have to sit on hold.

 

[Born2Fish]

I wonder if there’s an error or if there’s just some box buried somewhere that you need to check. Of course it’s not your job to beta test their software but they do have a user site where you could report it. At least that way you wouldn’t have to sit on hold.

I reported a few times on the TT community site. Few responses told me to press a button, etc.

I went ahead and filed FreeTaxUSA. Calculation worked just fine. Took 20 minutes to complete and file Fed and State. E-File Fed free, NC E-File $14.99.

I worked for a pharmaceutical OEM my last 12 years. Mostly doing software and machinery upgrades to aseptic manufacturing machinery. I have no respect for providers who push out the code and let the customers debug for them.

 

[oldtimer]

The Best Tax Software of 2023 per the WSJ.