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Definition of 'Reconversion'
A method used by individuals to minimize the tax burden of converting an IRA by recharacterizing Roth IRA-converted amounts back to a Traditional IRA and then converting these assets back to a Roth IRA again. Be aware that the IRS released regulations in 1999 placing limits on reconversions.
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Investopedia explains 'Reconversion'
Investors who want to reconvert to a Roth IRA must wait until the beginning of the new tax year following the tax year they recharacterized or a minimum of 30 days after the recharacterization is completed, whichever is later. For example, if you recharacterized a conversion contribution on December 15, 209, you would not be able to reconvert until January 15, 2010. If you reconvert prior to these limits, the reconversion will be deemed a failed conversion by the IRS, and if not corrected may result in an excess contribution to the Roth IRA.
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Search results for 'Reconversion'
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http://www.investopedia.com/university/retirementplans/rothira/rothira2.asp
... The second conversion of these assets is a reconversion, which must not
occur before the later date of these two following times: ...
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http://www.investopedia.com/articles/retirement/03/082703.asp
... Premature Reconversion With the frequent market fluctuations, many taxpayers converting
their non-Roth retirement accounts are attempting to take advantage of ...
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http://www.investopedia.com/articles/retirement/02/101602.asp
According to the Trustees of the Social Security Fund, the
fund will be depleted by 2037. Are you ready?
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http://www.investopedia.com/articles/retirement/09/roth-recharacterization.asp
... withdrawals. Of course, you can always just recharacterize the original Roth
conversion and simply forgo the reconversion altogether. ...
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http://www.investopedia.com/articles/retirement/04/091504.asp
... (For more on conversion and reconversion rules, seeDid Your Roth IRA Conversion
Pass or Fail?) Conclusion During the last quarter of the tax year, when you ...
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