Re: Undoing Roth

From: jeff@scrooge.csd.sdl.usu.edu (Jeff Salisbury)
Subject: Re: Undoing Roth
Date: Sun, 4 Oct 1998 07:58:23 -0600

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On Oct 2,  4:47pm, Jeff Salisbury wrote:
> Subject: Re: Undoing Roth
> On Sep 20,  7:26pm, drstone@gsvms2.cc.gasou.edu wrote:
> > Subject: Undoing Roth
> > I know that Congress tinkered with the rules for Roth IRAs, so that it will
> > be possible to "undo" a change.  For instance, if  I transformed my IRA to
> > a Roth in May, then get a big salary bonus in December which bumps me over
> > the $100,000 limit, then I have until April 15 to undo the conversion (in
> > some fashion which I do not understand precisely).
> >
> > 	Does anybody know the rules well enough to answer questions:
> > (1) What circumstances allow one to undo the conversion to Roth?
> > (2) Could a person Roth, unRoth and then Roth again in 1998?
> >
> > 	Here's the idea that prompts such a question: if I had a deductible
> > IRA and converted it to a Roth IRA early in the year, say May, 1998, then I
> > owe income taxes on the value.  But if it were all in stocks or mutual
> > funds, there is a good chance the value is less now, so a conversion now
> > would incur less taxes.
> > 	Thanks for any help.
> > David
> >
> > - -
> >-- End of excerpt from drstone@gsvms2.cc.gasou.edu
> 
> 
> David,
> 
> I've read at least two articles now that indicate that you can do exactly what
> you outline hear.  If it were me, I would do it if the tax savings were worth
> my time...
> 
> Jeff
> 
> -
>-- End of excerpt from Jeff Salisbury


I was asked to name the articles I read regarding this Roth IRA "reconversion".
In fact, one "article" was Bruce Lefavi's radio show "Bulletproof your
Financial Future".  The other was an on-line article which you can read at:

        http://www.fundsinteractive.com/answers/ansarc50.html#back

Regards,

Jeff

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