The Internal Revenue Service on July 28, 2008, issued final regulations on the tax consequences of converting a non-Roth IRA annuity into a Roth IRA. The new regulations are effective as of July 20, 2008, but will apply to conversions in which an annuity contract is distributed (or treated as distributed) from a traditional IRA on or after August 19, 2005. The final regulations adopt the general rule from the proposed regulations (which were also issued as temporary regulations in August 2005) that, when a conversion is made from a non-Roth IRA annuity to a Roth IRA, the amount that is considered "distributed," and therefore subject to income tax, is the fair market value of an annuity contract on the date the annuity contract is converted. The full text of the regulations are available at: http://federalregister.gov/OFRUpload/OFRData/2008-17271_PI.pdf.