If your business suffers from Net Operating Loss (NOL) income, you should consider converting some or all of your IRAs into a Roth IRA.  When you convert an IRA into a Roth IRA, you normally add the conversion amount to your taxable income.  By doing so, you don’t ever have to pay any taxes on the Roth IRA withdrawals ever again.  Several years ago, one client ended up having $250,000 of NOL.  We converted his entire IRA (it was just under $250,000) into a Roth IRA and paid $0 in taxes.

 


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