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Strategies & Market Trends : A.I.M Users Group Bulletin Board

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To: steve in socal who wrote (4388)3/28/1998 8:29:00 AM
From: Bernie Goldberg   of 18928
 
Hi,
I have checked it out with my CPA. When you roll over an IRA to a Roth it changes you AGI for tax purposes but not for the IRA purposes.
Say you have 75000 in income and 100000 in your IRA. When you do the rollover you pay taxes on 75000 +25000(1/4th of 100000). That however does not put you over the cap for the IRA.
Bernie
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