2010: Is it wise to convert a traditional IRA into a Roth IRA?

AUDIENCE MEMBER: My name is Joe Hudson (PH), a shareholder from Culver, Indiana.

I doubt either of you have any money in Roth IRAs, but what are your thought on the opportunity this year for anyone to convert IRAs to Roth IRAs, thus having all future growth on Berkshire or other investments 100 percent tax free?

Is the government making a big mistake here, and should people be concerned about the deal changing down the road?

CHARLIE MUNGER: I’ll take this one, because I have an IRA that I am going to convert to a Roth IRA. So there’s your answer. (Laughter)

WARREN BUFFETT: Well, I still don’t understand it, but —

CHARLIE MUNGER: You don’t have to. (Laughter)

WARREN BUFFETT: OK. He’s always telling me that. (Laughter)

I assume - if Charlie said it, it must be true.