- Self-Directed IRAs
- Other Tax-Advantaged Accounts
- Self-Directed Investment Options
- How to Get Started
- The Equity Trust Advantage
- Resources for Individual Investors
- Specialized Custody Solutions
- Custodial Accounts
- Alternative Investments
- Innovation & Technology
- Resources for Investments
- About Us
Are you looking for a tax deduction for this past year or to potentially lower your taxes in the future?
If so, certain retirement account contributions may qualify for a tax deduction if you meet IRS eligibility requirements.
Are you able to receive a tax deduction on IRA contributions?
Whether you receive a tax deduction on an IRA contribution depends on a variety of factors including the type of account, whether you’re covered by an employer-sponsored retirement plan, and your income.
Other factors that affect your potential tax deduction include:
- If you’re married and file jointly
- Whether your spouse is covered by an employer-sponsored retirement plan
The IRS requirements for 2022 tax deduction eligibility on Traditional IRA contributions are outlined in more detail below. The deadline to contribute for 2022 is the April 15, 2023 tax filing deadline.
Also outlined are several other tax-deferred accounts with the potential for tax-deductible contributions.
Please note: If you have a Roth IRA, contributions are not tax-deductible and are considered “after-tax” contributions. But, due to the tax treatment of Roth accounts, investments and withdrawals are tax-free after certain IRS requirements are met.
Traditional IRA Tax Deduction Eligibility Overview
Employer-Sponsored Retirement Plan
If you are not covered by a retirement plan at work, your contribution is deductible in full. If you (or your spouse if filing jointly) are covered by a retirement plan at work, your deduction may be limited based on your income.
If you are covered by a retirement plan at your place of work, your Modified Adjusted Gross Income (MAGI) will affect the amount you are eligible to deduct.