Get your taxes done using TurboTax

So, one could hypothetically contribute $1000 of regular contributions, invest it all in a stock that goes to $0, then subsequently do a $1000 roth conversion and immediately withdraw that $1000 tax-free/penalty. That doesn't sound right, is it?

 

This would mean roth conversions would be a loophole to bail you out of taking a loss on a regular contribution.