Income Limitation on Roth Conversion Imposed by TurboTax
We have a client that converted $30,000 from a traditional IRA to Roth IRA in 2012. Upon preparing his taxes via TurboTax in 2013, the software informed him that he must recharacterize a portion of the conversion because his income was over $113,000 and he was contributing to his 401k. Do you see any reason that TurboTax would be attempting to limit a Roth converson based on income level?
Thank you for your help.
Permalink Submitted by Alan - IRA critic on Thu, 2013-07-18 20:16
There are no income limits for conversions after 2009. Perhaps this is a suggestion to resolve other conflicts. Is he also trying to make a deductible TIRA contribution or regular Roth contribution. What is his filing status?