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I am currently reviewing my taxes/financial situation and have the following two questions.

My wife has a traditional IRA. We did not convert this to a Roth in 1998 because we had some potential income that could have placed us over the AGI limit. In retrospect I probably should have converted anyway especially since in the end we did not exceed the limit. My questions are.

1) If I convert now will I have to pay all of the applicable taxes in 1999 return? Was there any IRS last minute reprieve on the spreading out over four years applying only to conversions in 1998?

2) Can I, or better yet, SHOULD I continue to contribute to this converted account? Or should I just start a new IRA and let the converted one sit. I seem to recall some advice that suggested I do the latter.

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