Another Roth conversion question

I don't know who DH is, but only he can move his IRA money into a ROTH account. (IOW, it's not your decision.)

First I've heard of this and I kinda doubt that the feds will be generous again. In fact I'm surprised that congress hasn't closed the "loophole"; but then again, I'm really happy they haven't. Yet.

Should be paid for that quarter in order to avoid penalty.

ChEAr$, Harlan Lunsford, EA n LA

It's a two-year spread for conversions done in 2010 only. The income is spread between 2011 and 2012 [sic] unless the taxpayer elects to have the entire amount taxed in 2010. Don't count on this still being law in 2010. On the surface it sounds like you'd be best off to convert enough each year to use up the 15% bracket. Before you do, check your future state's treatment of retirement income. For example, Illinois has an income tax but doesn't tax retirement distributions, including conversions to Roth.

-- Phil Marti Clarksburg, MD

They are figured into your quarterly estimates just like most other income and deductions.

"Deceased Husband"? "Designated Hitter"?

As the law stands today, I recall that tax on Roth conversions can be spread over two years beginning in 2010, in conjunction with the elimination of AGI limitations for conversions. Some people might start making maximum non-deductible Traditional IRA contribtions every year until then to maximize the amount they can convert.

-Mark Bole

DH is my shorthand for Dear Husband. I do the reasearch, lay out the options. After discussion we decide because the tax consequences are shared the last time I read the IRCode. I am younger and have IRAs that could be converted too.

After posting it appears that there is a 2-year window in

Sounds like the OP is confusing the first year of Roth (was it five years the conversion was spread out for tax purposes?) and the 2010 conversion in which the income may be spread over two years (2011 and 2012 tax returns). JOE JoeTaxpayer.com