This was a pre-existing Roth, over 5 years old.

Where do I find an explination of the calcualtion?

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"Perplexed" <subscribe[at]AshtonNW.com> wrote:

- quote -

You have no loss to be concerned about on your tax return.
As far as the recharacterization is concerned, if you moved
the mutual fund shares into a new Roth account, you need not
do anything else; you've canceled the Roth conversion.
However, if the funds were moved into a pre-existing Roth
account, then you needed to do an extra calculation before
determining how much you needed to recharacterize to cancel
the conversion.

Barry Picker, CPA/PFS, CFP

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Perplexed wrote:

- quote -

You do exactly what you would have done had the funds
remained in your IRA: nothing.

--
Alan
http://taxtopics.net

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"Perplexed" <subscribe[at]AshtonNW.com> wrote:

- quote -

Nothing.

--
David M. Woods, EA, ChFC, CLU
Woods Financial Services
Norwood, MA 02062
www.woods-financial.com

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Perplexed wrote:

- quote -

Nothing. The conversion never happened, since it was
recharacterized before October 15, 2005. There is nothing to
show on your 1040 return when you file.

A loss within an IRA account is not recognized, especially
since they would have lost money whether they were in a Roth
IRA or a traditional IRA.

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"Perplexed" <subscribe[at]AshtonNW.com> wrote:

- quote -

Nothing much. Since you recharacterized the conversion the
net effect on your 2004 return is zero. Since the amount
converted is different from the amount recharacterized, you
explain the difference in an attachment to the return. See
the instructions for Form 8606.

--
Phil Marti
Clarksburg, MD

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Last December I moved shares of a mutual fund from a regular
IRA to a Roth IRA. Before April 15 I asked that they be
moved back, a recharacterization (I also filed an extention,
just in case I need time to deal with this).

I just received a letter from the brokerage telling me that
the value of the shares decreased, in round numbers, from
$34,000 to $33,500. They tell me that the latter amount will
be reported.

What do I do, if anything, with the loss on my return?

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