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Get your taxes done using TurboTax
If your IRA value is no more than your basis, a conversion is tax-free.
If your IRA has value because it's been around for a while and you took deductions. a conversion will not be tax-free.
If your Traditional IRA grew by earning $109 dollars while you delayed, then your conversion cannot be tax-free.
In the situation given, the tax is nominal so it is effectively a backdoor Roth.
May 10, 2023
5:41 AM
922 Views