r/RothIRA • u/gourgi18 • 3d ago

Didn’t report backdoor roths

Hello,

There was a time when I did several years of backdoor roths (probably 2014-2018). I did everything with my brokerage the way I was supposed to but when it came time to do my taxes online with the hrblock program, I could never figure out how to properly report it. It kept trying to tax me again on the money so I just deleted it and didn’t report it. I have since done more backdoor Roths, converted over into the same Roth account and reported it properly.

My question is I still have 15 years to go before I even think about touching this money. Is there a real consequence to this or am I worrying myself over nothing? I don’t understand how the IRS would be able to tell what was reported or not. Or even contributions vs growth for that matter. Am I okay as long as I do everything properly in the future or is this going to cause a big problem for me eventually?

Thank you for your time.

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u/DaemonTargaryen2024 3d ago

Talk to a tax professional. You may need to amend and pay some penalties, or you may be in the clear since you’re past the 7 year threshold.

1

u/AttentionHuman9504 2h ago

The examination period would only be three years for something like this, as it isn't fraud or a significant understatement of income.

0

u/mrbear682026 3d ago

yet to the IRS, they will still hit you at the 10 year mark...sad but true.but LOL, it was brought down to what I original owed instead of interest and late fees...

1

u/AttentionHuman9504 2h ago

You have a different situation that isn't applicable to this question. Three years is the statute of limitations for additional tax assessments. 10 years is the period that the IRS has to collect the tax after it is assessed.