Whether you’re an experienced do-it-yourselfer or doing your own taxes for the first time, this is your place to learn and share. Here you’ll find information and resources for using H&R Block’s online and software DIY solutions. You’ll also find links to more information to assist you on your DIY journey.
01-12-2018 05:03 PM
Hello! A couple of questions. I haven't done taxes since I got a Roth IRA last Spring, and I'm wondering if I need to report my contribution for 2017 anywhere on my upcoming taxes? If I do, how would I do that in the free HR Block filing online?
Also, I transferred my savings to an Ally Savings account last year, so I've actually made a better amount of interest than I did with my brick and mortar. How and where would I report that in the free online filing program?
Thanks for the info! I'm not very savvy this stuff!
01-12-2018 05:15 PM
Welcome to the H&R Block community.
Great news all around for you today.
You do not need to report Roth contributions. These contributions are made with after-tax dollars and cannot be deducted. However, you can still take the retirement contribution credit by filling out Form 8880 provided that your income is within the limits for the credit. Your Roth contributions will be reported to you on Form 5498 by the company that manages the account. Make sure you save your Forms 5498 each year because you will need them when you start withdrawing funds later on in life.
You do not need to report savings account balances or transfers. The money in your savings accounts was already taxed back when you earned it. You will receive Form 1099-DIV for any interest earned from each bank that you had the money in and the interest gets reported either on the 1040 or on Schedule B if your total interest for the year is over $1,500.
If you have any other questions I'll be glad to help.
Senior Tax Advisor (Tampa, FL)