Page:United States Statutes at Large Volume 111 Part 1.djvu/852

 Ill STAT. 828 PUBLIC LAW 105-34—AUG. 5, 1997 "(ii) section 72(t) shall not apply, and "(iii) in the case of a distribution before January 1, 1999, any amount required to be included in gross income by reason of this paragraph shall be so included ratably over the 4-taxable year period beginning with the taxable year in which the payment or distribution is made. " (B) DISTRIBUTIONS TO WHICH PARAGRAPH APPLIES.— This paragraph shall apply to a distribution from an individual retirement plan (other than a Roth IRA) maintained for the benefit of an individual which is contributed to a Roth IRA maintained for the benefit of such individual in a qualified rollover contribution. "(C) CONVERSIONS.— The conversion of an individual retirement plan (other than a Roth IRA) to a Roth IRA shall be treated for purposes of this paragraph as a distribution to which this paragraph applies. " (D) CONVERSION OF EXCESS CONTRIBUTIONS. —I f, no later than the due date for filing the return of tax for any tsixable year (without regard to extensions), an individual transfers, from an individual retirement plan (other than a Roth IRA), contributions for such taxable year (and any earnings allocable thereto) to a Roth IRA, no such amount shall be includible in gross income to the extent no deduction was allowed with respect to such amount. "(E) ADDITIONAL REPORTING REQUIREMENTS.— Trustees of Roth IRAs, trustees of individual retirement plans, or both, whichever is appropriate, shall include such additional information in reports required under section 408(i) as the Secretary may require to ensure that amounts required to be included in gross income under subparagraph (A) are so included. " (4) COORDINATION WITH INDIVIDUAL RETIREMENT ACCOUNTS.— Section 408(d)(2) shall be applied separately with respect to Roth IRAs and other individual retirement plans. "(5) QUALIFIED SPECIAL PURPOSE DISTRIBUTION.—For purposes of this section, the term 'qualified special purpose distribution' means any distribution to which subparagraph (F) of section 72(t)(2) applies. "(e) QUALIFIED ROLLOVER CONTRIBUTION.— For purposes of this section, the term 'qualified rollover contribution' means a rollover contribution to a Roth IRA from another such account, or from an individual retirement plan, but only if such rollover contribution meets the requirements of section 408(d)(3). For purposes of section 408(d)(3)(B), there shall be disregarded any qualified rollover contribution from an individual retirement plan (other than a Roth IRA) to a Roth IRA.". (b) EXCESS CONTRIBUTIONS.— Section 4973(b), as amended by title II, is amended by adding at the end the following new subsection: "(f) EXCESS CONTRIBUTIONS TO ROTH IRAS.— For purposes of this section, in the case of contributions to a Roth IRA (within the meaning of section 408A(b)), the term 'excess contributions' means the sum of— "(1) the excess (if any) of—

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