The Motley Fool Discussion Boards

Previous Page

Financial Planning / Tax Strategies

URL:  http://boards.fool.com/actually-i-dont-think-you-have-as-bad-a-problem-14782750.aspx

Subject:  Re: IRA question Date:  4/17/2001  12:27 PM
Author:  Charlie48K Number:  50393 of 121219

Actually, I don't think you have as bad a problem as you might think. Excess contributions can be withdrawn by the due date of the return, including extentions, without penalties. Except your trustee might charge you a fee. See Publication 590 p33 Excess Contributions Withdrawn by Due Date. Make shure the interest is withdrawn.

The Roth IRA can by recharacterized to a non-deductable IRA, again it needs to be done by the due date including extentions. Pub 590 p 41 shows you how to do that.

At least that's how I read the rules.
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us