Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 01-06-2010, 07:03 PM
TaxGuru's Avatar
Tax Guru
 
Join Date: Jan 2007
Location: New Jersey, USA
Posts: 2,417
Blog Entries: 3
What are 2010 Rules for Roth IRAs?

The IRS has stated that "beginning January 1, 2010, the income and filing status requirements for rollovers (including conversions) to a Roth IRA was eliminated. Additionally, for rollovers to a Roth IRA in 2010 only, a special 2-year option for reporting taxable portions of your rollover apply."

Thus, under the new rules, regardless of the income or filing status, taxpayers may roll over (convert) the following types of retirement plans to a Roth IRA:

1. a Taxpayers traditional individual retirement arrangement (IRA), SEP IRA or SIMPLE IRS.

2. an Eligible rollover distribution (ERD), for example, a 401(k) or a 403(b) plan.

3. an Eligible rollover from a retirement plan for which the taxpayer is a beneficiary.

For rollovers and conversions to a Roth IRA in 2010 only, taxpayers have the option of reporting the taxable portion of their rollover in their gross income 2010, or reporting half in 2011 and half in 2012.

Previously, to roll over to a Roth IRA, both of these requirements needed to be met; that is the taxpayers modified AGI was less than $100,000 and their filing status was not married filing separate.

__________________
Find a CPA near you!

Ask TaxGuru Please refer to the legal disclaimer.


Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
IRS Announces 2010 Standard Mileage Rates Samatg For 2009 0 12-03-2009 03:53 PM
First-Time Homebuyer Credit Extended to April 30, 2010; Samatg For 2009 0 11-25-2009 03:33 PM
Virginia State authorizes a Tax Amnesty during Fiscal Year 2010! TaxGuru Virginia 0 06-11-2009 11:50 AM
IRS will force Brokers to report basis in 2010! TaxGuru For 2008 0 08-15-2008 07:46 AM
Roth Ira kapriati IRA/Sep 1 01-21-2007 08:14 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.