easy · Certified Financial Planner General Principles
A client, Huang, has a traditional IRA with a total balance of $100,000. Of this total, $90,000 represents pre-tax contributions and earnings, and $10,000 represents after-tax contributions. If Huang decides to convert $20,000 of the IRA to a Roth IRA
What percentage of the conversion will be subject to ordinary income tax?
- 10%
- 100%
- 50%
- 90%
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