IRA basis

[ajain]

Does this field - Basis in IRA as of 12/31/18 (Pub. 590 w/s, line 1) [Override] on adjustment to income screen equal to IRA basis for 2018 and earlier years on adjustment to income screen?

If they are different, then how do I come with basis for publication 590?

Usually, I have seen the same amount for these two fields in other client returns.  

[George4Tacks]

I assume you are working on a 2019 return. Here is what you get from Lacerte by pressing F1 for each field in 2020 (one more reason to spend more money on Lacerte)

IRA Basis for 2019 and Earlier Years

Form 8606 (Part I)

Screens 24; Codes 6,56

Enter in the respective input fields the taxpayer's and spouse's basis in IRA(s) for 2019 and prior years. This amount should be the amount from the taxpayer's and spouse's 2019 Forms 8606, line 14. When the taxpayer or spouse did not file Form 8606 in 2019, refer to the IRS instructions for the prior year amounts that apply.

Basis in IRA as of 12/31/19 (Pub. 590 w/s, line 1) [O]

Form 8606 (Part I)

Screens 24; Codes 21,71

Enter the taxpayer's and spouse's basis in the IRA on December 31, 2019 to override the program’s automatic calculation. If left blank, the program uses the amount entered in “Basis in IRA for 2019 and Earlier Years.” If nondeductible contributions are made in the current year, and distributions are also taken, the program prints this amount on line 1 of the IRS Pub. 590 worksheet.

Hopefully this answers your question, if not - do a reply.

[ajain]

Thank you for your answer. 

However what is the difference between IRA basis for 2019 and earlier years and basis as on 12/31/2019. 

[George4Tacks]

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"However what is the difference between IRA basis for 2019 and earlier years and basis as on 12/31/2019." The second input has a [O] which is a an override. The first entry is the precomputed from prior year carry over. If you felt it was in error, then you could make an override. 

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