Do You Qualify for an IRA Tax Deduction in 2018?
Note: This article is about the 2018 IRA deduction income limits, which affect the tax return you'll file in 2019. If you're looking for the 2017 IRA income limits, which affect the deduction you may be able to take on the tax return you file in 2018, you can find them here.
Contributions to an IRA may be eligible for a tax deduction, up to the annual contribution limit, which is $5,500 for the 2018 tax year or $6,500 if you're 50 or older. Even better, this is an "above-the-line" deduction, meaning that you can take advantage even if you don't itemize. And since all of the tax reform proposals we've seen so far preserve the tax benefits of retirement savings, it doesn't look like the IRA deduction is going anywhere.
Eligibility for the IRA tax deduction depends on a few factors, such as the type of IRA you're contributing to, your adjusted gross income (AGI), and if you're eligible to participate in your employer's retirement plan.
Source: Fool.com
