non deductible IRA converted to Roth
question on Roth conversion…..if someone has a substantial rollover IRA and a spouse rollover IRA. If he can get his current employer to accept his rollover IRA into his company 401k, will he owe taxes on the spousal rollover IRA, along with taxes on the gains of the non deductible IRA?
Permalink Submitted by Alan Spross on Mon, 2008-04-28 23:11
No, each spouse’s IRA is separate and an IRA held by the other spouse does not affect the conversion of the first spouse’s IRA to a Roth. A Roth conversion is reported on Form 8606 which only includes the SSN of the IRA account owner, not the other spouse.
This is different than if a surviving spouse rolled over the deceased’s spouse’s employer plan or IRA into his own plan under his own SSN. Those rollovers would then be considered his own IRAs and subject to consideration for Roth conversion taxes.
I believe the situation you are referring to is the first one stated above rather than the rollover of a deceased spouse’s plan.
Permalink Submitted by Mary Kennedy on Tue, 2008-04-29 21:34
thanks much!