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URL:  http://boards.fool.com/reversing-a-roth-ira-conversion-27742498.aspx

Subject:  Reversing a Roth IRA Conversion Date:  6/11/2009  10:15 PM
Author:  JoshRandall Number:  106262 of 121572

http://online.wsj.com/article/SB124467488780103961.html

When it comes to retirement planning, it's easy to make mistakes. If you converted a traditional individual retirement account into a Roth IRA last year before the stock-market free fall, for instance, you may be especially forlorn -- most likely your Roth IRA is now worth considerably less than it was on the conversion date. Even worse: You're stuck paying 2008 taxes on phantom value that no longer exists.

Thankfully, you can reverse that ill-advised Roth conversion. In fact, you can make it so it's like the conversion never happened, and as a result, that inflated conversion tax bill will also disappear.

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