If I move money from a traditional to roth IRA (or pretax 401k to roth) account, what are the US tax brackets? Are there any standard deductions?
Will I have to pay any taxes in India for this?
Question 2: Is the income from another part of the world (India in this case) considered taxable in the US in the case of a roth conversion. For instance, if I earned $10,000 residing and working in India and then I convert $1000 from a traditional to a roth IRA account would $11,000 be the taxable income in the US or just $1000 (this is important if there are any standard deductions in the question above).
Assumption The person is an Indian citizen and was working in the US on F1/H1b (maybe even some combination of both). He them moved to India where he initiated this roth conversion.
Extra Credit The person, who is an Indian citizen, moves to India where he initiated this roth conversion. I presume this case would be handled differently and am curious to know how it differs from the above case for informational purposes.