Thanks DanaB27.
From your response, "When you file your 2021 tax return to report the conversion you will have the rest of basis $4,093 allocated to that conversion ($4,093 + $7,907 = $12,000 total basis used) assuming the traditional IRA balance will be $0." I understand that because i contributed to a Roth in 2020 and recharacterized it to T-IRA and it was not converted to a Roth until 2021, it is still a non deductible Traditional IRA and has a basis of 4093 for next year. So next year even though i converted this 6000 from 2020 to Roth, my basis would be 4093 only and therefore i would have to pay more tax in 2021 on this non deductible IRA conversion to Roth. So effectively my tax on conversion of 5590 deductible IRA in 2020 is spread over two years even though I converted all of it in 2020. IS that correct? Just want to make sure that I am not underpaying the tax for the full conversion of my deductible IRA.
And form this I understand that the timing of the conversion to Roth does not matter. It is all the contributions made in the entire year and then a pro-rata is done?
Thanks again,
