rules allow the complete reversal of a Roth conversion if it is completed by the timely filing of the client's tax return for the year of the conversion.
A cluster of cases in Michigan has resulted in the recharacterization
of bath salts as a recreational drug.
13) Whether reported on the initial or amended return, a separate statement explaining the facts surrounding the original conversion and recharacterization
should be attached to the return.
Assets recharacterized can be reconverted at the later of (1) the beginning of the year after the year of recharacterization
, or (2) the end of the 30-day period beginning on the day of the recharacterization
1, 2000, there is a waiting period between a recharacterization
and a conversion.
of Certain On-Balance Sheet Securitizations as Sales under FASB Statement No.
permit the recapture of overall domestic losses (similar to section 904(f)'s recharacterization
of overall foreign losses);
408A-5, this recharacterization
election must occur on or before the date prescribed by law, including extensions, for filing the taxpayer's federal income tax return for the year of the contribution.
The latest effort, sent in by alert accountant Craig Podosek, is Schedule J, Form 1118, which is titled - I am not making this up - "Separate Limitation Loss Allocations and Other Adjustments Necessary to Determine Numerators of Limitation Fractions, Year-End Recharacterization
Balances, and Overall Foreign Loss Account Balances.
The "employer" should take as many steps as possible to avoid the recharacterization
of an independent contractor as an "employee.
Guidance Now Available on Fidelity.
The new tax on net investment income has crowned a new rule: A once-obscure recharacterization
provision is threatening to swallow the broader material participation tests under Sec.