My wife is in the process of transferring a retirement account from her previous job into a Traditional IRA. Once it is transferred, I know any Roth IRA conversions would also take into account the amount transferred into the Traditional IRA.
The question is: if we do a Backdoor Roth IRA contribution now, before the funds are transferred into the Traditional IRA, would we miss having to include the new Traditional IRA funds in the conversion equation? Or, as I suspect, would the state of things at the close of the tax year actually govern the tax on the conversion?