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You do not have to report anything unless you receive a distribution.
If you moved amounts in to your TRAD IRA that were already taxed in other retirement accounts or you were not allowed to claim a deduction in the years you made contributions, you should have the form 8606 from those past years.
The form 8606 was used in any year to report BASIS in your IRA.
When distributions are taken from a traditional IRA or you convert to a ROTH IRA, Form 8606 must be filed again.
The calculations on this form will determine whether or not the distribution is taxable based on the basis in the traditional IRA. The key is to track your basis so you can be sure that distributions are properly treated as either taxable or nontaxable.
If you do either (cash in or convert) you have to use the form 8606 to tell the IRS about the BASIS that is not taxable now. Your 1040 will show the true taxable amount and the total as well on lines 15a and 15b.
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