Yes i have handled back door conversions what has thrown me is the fact that  the 1099 was showing more than what they were calling a conversion. Plus he stated in his letter to me he sold some stocks at a loss to minimize her tax burden from doing this conversion. I have to talk to him and get the full story and why it was coded as an exception to penalty and she is not old enough to have the penalty waived. I can see all kind of ideas he may have had. You make the contribution to the ira then convert to roth but he ends up taking and addition 4,000 on top of what he is calling a conversion so he has to me created more of a tax situation for her. she should be paying the penalty on the 4000 that was not converted plus tax. and I really have not been given the basis in her ira to figure it all.  This mess is why I like to say  Talk to us before you do anything and let us figure it for you.