When you have converted one type of individual retirement account (IRA) to another type - such as a traditional IRA to a Roth IRA - and then convert it back to the original type, you are recharacterizing the IRA.
Similarly, you can recharacterize a contribution you've made to one type of IRA as a contribution to another type of IRA. In either case, when the recharacterization is handled correctly, the original conversion or contribution is erased, as if it never happened. To be valid, a recharacterization must be handled as a transfer between IRA providers or internally by a single provider.
Further, it must be completed before the date your tax return is due, including extensions. You must also report the action to the IRS, and in some cases, you must file an additional form.
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