How can I mitigate the State taxes due because of a back door Roth conversion?

[gr8salazam1]

How to reduce State taxes from a back door Roth conversion?

[MaryK4]

Can you clarify which state?

[gr8salazam1]

My backdoor Roth was created while living in Virginia on 6/22/22. What about a re-characterization back to my self-directed IRA? I’ve lost a lot of money on the equity a quired within the Roth.

Thanks for your help. 

[gr8salazam1]

Hope this reply reaches you. My backdoor Roth was created in Va on 6/22/2022. Just recently I contributed 7k to that same Roth.

[fanfare]

a back door roth, if done correctly is tax free.

If you are paying tax, it's not a back door Roth contribution. or you entered it wrong.

@gr8salazam1 

[gr8salazam1]

This was not a contribution, it was a conversion using qualified money. An ITA to Roth IRA conversion. I don’t know how you get around paying the taxes due. I am trying to re-characterize the money back to my IRA if at all possible, given the changes in the law concerning reversal of the conversion. Isn’t there a window of opportunity during which I can do this reversal?

[gr8salazam1]

IRA, not ITA