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slamjammrh
Level 1

I made a mistake of transferring money from a rollover IRA to Roth IRA, Can I undo the mistake and avoid the taxes

 
3 Replies
Critter
Level 15

I made a mistake of transferring money from a rollover IRA to Roth IRA, Can I undo the mistake and avoid the taxes

If you moved money from an IRA  to a ROTH then that is called a conversion ... you have until the filing deadline to undo the conversion (in full or any part) ... that is called a recharacterization which is no longer allowed since the change. 

macuser_22
Level 15

I made a mistake of transferring money from a rollover IRA to Roth IRA, Can I undo the mistake and avoid the taxes

Sorry but the Tax Cuts and Jobs Act (TCJA) prohibits recharacterizing Roth IRA conversions from 2018-2025.   Once converted - it cannot be undone.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
Critter
Level 15

I made a mistake of transferring money from a rollover IRA to Roth IRA, Can I undo the mistake and avoid the taxes

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