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Roth Conversion - State income taxes


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Guest Sheepdog
Posted

I was a resident of two states in 1998. I converted my Rollover IRA to a Roth at end of year. Can I select which state I wish to pay state income taxes to? There is a fairly large difference in tax liability.

Posted

Depends on the two states. You will probably need to talk with an accountant/tax preparer on this Q. Factors that may effect the answer: your state of residence on the date of the conversion, were you employed in both states, etc. Since some CPAs scan this message board, you should add some details. While you can talk with the two state revenue/tax offices, don't be surprised if they are not sure of the answer due to the newness of Roth conversions.

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