what year is recharacterization taxed?

I recharacterized a 2006 Roth contribution in early 2007. Turbo Tax spits out a tax form on the earnings portion of the recharacterization applied to 2007. Is this the correct year?

Side question: should this earnings part be added to the

8605 bassis then, since it was already taxed?

(Beware of IRA hell!)

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