401k to roth conversion

Submitted by DIANE DAVIS on Mon, 2019-10-07 17:57

401k to roth,,,,,,if the funds miss the 60 day window to convert, and taxes have been paid on the money , but not put into a roth within the 60 days , can the funds be put into a roth before the filing deadline of that year and implement the roth after the 60 day window? Or will the IRS kick it out as roth qualified?



Submitted by Alan - IRA critic on Mon, 2019-10-07 18:57

  • A rollover must be done within 60 days of receipt of the distribution unless an unusual situation qualifies the taxpayer for an extension of the 60 day deadline. This is explained in Rev Proc 2016-47 below.
  • https://www.irs.gov/pub/irs-drop/rp-16-47.pdf
  • A regular Roth contribution can be made under the normal rules, but that is not a rollover. Assuming the distribution cannot be rolled over, besides taxes there would also be an early distribution penalty if under 59.5.

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