Roth IRA conversion

  1. You have chosen to ignore posts from BostonDotCom. Show BostonDotCom's posts

    Roth IRA conversion

    So for a few years I had a 401k through my old employer and then a seperate Roth IRA. After I left my old job I decided I didn't want the hassle of two accounts, so I decided to put those 401k funds (which by that point had been automatically turned into a rollover IRA) into my Roth. At the time I didn't claim any taxes though because I was clueless about how much to claim. 

    My question is, now that it's tax time, what forms will I need to claim taxes on that conversion to my Roth?
     
  2. You have chosen to ignore posts from MASocietyofCPAs. Show MASocietyofCPAs's posts

    Re: Roth IRA conversion

    In Response to Roth IRA conversion:
    So for a few years I had a 401k through my old employer and then a seperate Roth IRA. After I left my old job I decided I didn't want the hassle of two accounts, so I decided to put those 401k funds (which by that point had been automatically turned into a rollover IRA) into my Roth. At the time I didn't claim any taxes though because I was clueless about how much to claim.  My question is, now that it's tax time, what forms will I need to claim taxes on that conversion to my Roth?
    Posted by BostonDotCom


    Dear BostonDotCom:

    I am assuming that you did the conversion in 2010 and, as a consequence, you must report 1/2 of the conversion amount on your 2011 return and the other 1/2 on your 2012 return.  You will need to pick up that amount on line 15b of your Form 1040 and compute the tax due with that amount increasing your income for the year.

    Hope this helps in preparing your returns!

    Mark H. Misselbeck, C.P.A., M.S.T., Tax Principal
    Katz, Nannis + Solomon, P.C.
     
Sections
Shortcuts

Share