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Failed to recharacterize Roth before 12/31/99


Guest chrisdec

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Guest chrisdec
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I converted my IRA to a Roth in 1998. I found out on Nov.29th, 1999 that I may not be eligible. Thirty days (with holidays) wasn't enough time to figure out where my tax accountant went wrong, or if I had possibly missed any deductions to lower my magi and bring me back down under the limit. My accountant didn't realize that the limit was based on the magi and that's why I thought I could convert in the first place.

So now what do I do? I missed the Dec.31,1999 extension. Can I ask for a further extension because I didn't have enought time to do proper research? I really had no idea that I might not be eligible until I got that letter. Should I go ahead and recharacterize and ammend my 1988 statement anyway? If recharacterizing is like the transaction never took place in the first place shouldn't I be able to recharacterize now.? Is there certain wording in the ammendment of my return that will help my case?

Chris

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