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Author: ContentedMom Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121061  
Subject: Roth conversion timing Date: 3/30/1999 10:41 AM
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If a traditional IRA is converted to a Roth IRA before the April 15, 1999 tax deadline can the conversion be taxed in the 1998 tax year? My son will be in a higher tax bracket in 1999 and would prefer to pay all the tax on the conversion with his 1998 taxes.
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Author: edcosoft Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13260 of 121061
Subject: Re: Roth conversion timing Date: 3/30/1999 1:14 PM
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ContentedMom wrote If a traditional IRA is converted to a Roth IRA before the
April 15, 1999 tax deadline can the conversion be taxed in the
1998 tax year? My son will be in a higher tax bracket in 1999
and would prefer to pay all the tax on the conversion with his
1998 taxes.


No. taxation must be in calander year of conversion. Also, you missed the chance to average the income over 4 years and hence spread the tax.

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Author: ContentedMom Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13282 of 121061
Subject: Re: Roth conversion timing Date: 3/30/1999 8:37 PM
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Thanks for the help. He sent in his conversion forms last year and didn't find out until after Jan. 1 that they never received them.

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Author: TMFTaxes Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13573 of 121061
Subject: Re: Roth conversion timing Date: 4/3/1999 9:42 PM
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[[If a traditional IRA is converted to a Roth IRA before the April 15, 1999 tax
deadline can the conversion be taxed in the 1998 tax year?]]

Nope...the last day that a CONVERSION could be considered a 1998 conversion was 12-31-98. You can still make a 1998 CONTRIBUTION before 4-15-99, but not a conversion.

TMF Taxes
Roy

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