Federal 2011: 2010 ROTH IRA Conversion With Social Security Income
Taxpayers, who converted funds from certain retirement accounts to a ROTH IRA in 2010, could elect to pay the tax on that conversion amount in 2011 and 2012.
Certain customers, who elected to pay tax on their 2010 ROTH IRA conversion in 2011-2012 and received Social Security income, may have filed an incorrect tax return.
TurboTax has fixed this issue.
How to tell if you may be impacted
You may be affected if ALL of the following are true:
- You filed a 2011 federal tax return before March 8, 2012 AND
- You had an amount on your 2011 federal Form 1040, Line20b (for your Social Security income) AND
- You chose to postpone paying tax on your 2010 ROTH IRA conversion until 2011 and 2012 AND
- You had amounts on your federal 2010 Form 8606, Lines 25a and 25b
If you are affected, you may have overpaid your federal tax. You may need to amend your federal tax return. Your state return may also be affected and if so, you will need to amend it.
You can make the corrections yourself.
- To do it yourself, please follow these step-by-step instructions on:
- Amending your federal return and
- Amending your state return.
- After you make the changes to your tax return, you will need to mail a copy of:
- Your federal amended return to the Internal Revenue Service and
- Your state amended return to your state tax authority, if your state return is affected.
- Your printed return(s) will include instructions on how and where to mail it.
- If you need assistance, call us at the phone number in the email.
Or let us do the work for you.
- Please download and print this Authorization Form .
- Complete the form and fax it to us at the number printed at the top of the form.
- A TurboTax representative will contact you (within 15 days) when your corrected return is ready to be securely emailed back to you.
- You can print, sign, and mail the corrected return to the Internal Revenue Service and to your state tax authority if your state return is affected.
If you need to contact us, please use the phone number in the email from TurboTax and tell the representative you’re calling about the Federal 2011: IRA Conversion and Social Security.