Recharacterize Roth
I made contribution to my Roth but in doing my taxes my income is too high. I want to recharacterise it back to traditionalIRA but I don’t have a traditional IRA account. Am I stuck since I never had traditional IRA opened before 4/15. I want this to be deductible traditional IRA contribution for 2013
Permalink Submitted by Alan - IRA critic on Sun, 2014-09-07 02:36
If you either filed your 2013 return or filed an extension by 4/15, you can recharacterize your Roth contribution as a TIRA contribution up to 10/15/2014. If you do not have a TIRA account now, you need to open one to receive the recharacterization. Recharacterizations must be done by direct trustee transfer from the Roth to the TIRA. You may or may not be able to deduct the TIRA contribution. Your filing status (single or joint) and whether you are covered by a retirement plan at work determine what modified AGI figure will apply to determine if you can take the IRA deduction or not. See Pub 590 or those income limits.