Description Of Major Changes And Instructions For Form 8606 - Nondeductible Iras - 2010

ADVERTISEMENT

Description of Major Changes,
Instructions for 2010 Form 8606
We revised the What’s New item Modified AGI limit for Roth IRA contributions increased to
reflect cost of living adjustments. IR 2009-94
We deleted the What’s New item that discussed the 2009 waiver of required minimum
distributions from certain retirement plans. This provision applied only for 2009. A similar
caution was deleted from the discussion under Modified AGI for Roth IRA Purposes.
P.L. 110-458, section 201; IRC 401(a)(9)(H)
We added a What’s New item covering in-plan Roth rollovers (IRRs). IRRs were also added
as bullet items under Purpose of Form and Who Must File. P.L. 111.240, section 2112
We added a What’s New item that the provision for qualified charitable distributions (QCDs)
has been extended and that taxpayers making QCDs in January 2011 can elect to have
them treated as made in 2010. Information related to January 2011 QCDs was added to
Who Must File, in a caution under Line 6, and as bullet items under Line 7 and Line 26
P.L. 111-312, section 725
We added to Purpose of Form an instruction to report rollovers from qualified retirement
plans (other than designated Roth accounts) to a Roth IRA. IRC 408(d)(3)
We added to Who Must File an instruction that you must file Form 8606 if you rolled over an
amount from a qualified retirement plans (other than designated Roth accounts) to a Roth
IRA in 2010. IRC 408(d)(3)
We added to Who Must File an instruction that you must file if you received a distribution
from an inherited IRA that was not a qualified distribution or from a traditional IRA that has
basis and you rolled over an inherited plan account to a Roth IRA. TE/GE comment, Roger
Kuehnle email 12/20/2010
We deleted references to qualified disaster recovery assistance distributions throughout
the instructions because they cannot be made after 12/31/2009. The references deleted
include: the caution toward the end of Who Must File alerting taxpayers to complete Part I
of Form 8930 before completing Form 8606; a reference in the note toward the end of the
Line 6 instructions; the instructions for Line15b; and the 2009 Line 25b instructions. On
2009 Form 8606, Lines 15b and 25b were used to separate qualified disaster recovery
assistance distributions from other distributions.
We deleted language from the Tip following Who Must File, which indicated you did not
need to file to report rollovers from qualified retirement plans to Roth IRAs. IRC 408(d)(3)
We deleted the paragraph Catch-up contributions in certain employer bankruptcies under
Overall Contribution Limit for Traditional and Roth IRAs because these contributions cannot
be made after 12/31/2009. A related reference was deleted from the Maximum Roth IRA
Contribution Worksheet. IRC 219(b)(5)(C)
We added text to item 4 under Recharacterizations to add new reporting requirements for
rollovers from qualified retirement plans to Roth IRAs. IRC 408(d)(3)
We deleted the caution in Part II that discussed the modified AGI and filing status limitations
on conversions to Roth IRAs. These limitations no longer apply. IRC 408(d)(3)

ADVERTISEMENT

00 votes

Related Articles

Related forms

Related Categories

Parent category: Financial