IRA (Individual Retirement Arrangement) Contributions

IRA (Individual Retirement Arrangement) contributions include traditional, Roth, SEP, and SIMPLE IRAs, which are taxed and distributed differently based on the taxpayer’s AGI. These contributions can be reported directly on Schedule 1 using the IRA Deductions Worksheet.

Reporting IRA Contributions

Step 1: Access Review/Print Section

• From the left side of the main tax return page, select Review/Print.

• This expands the dropdown menu of review screens.
  
  

  Open

  

Step 2: Navigate to Schedule 1

• Select Schedule 1 from the menu to open the Additional Income and Adjustments to Income form.
  
  

  Open

  

Step 3: Access IRA Deduction Worksheet

• Scroll to Part II - Adjustments to Income on Schedule 1.

• Locate Line 20 (IRA deduction) and click the menu icon to open the IRA Deduction Worksheet.
  
  

Completing the IRA Deduction Worksheet

Line 1: Verify Retirement Plan Coverage

• Confirm whether the taxpayer was covered by a retirement plan.

Line 11/14: Add Contribution Amounts

• Enter the total contributions to traditional and Roth IRAs for the tax year.

Line 13: Excess Contributions

• If any excess contributions appear on Line 13, complete the nondeductible IRAs information.

• Excess amounts will automatically transfer to Form 8606.

Special Notes

• If "No" is selected on Line 1:

  • Lines 2 to 6 will be skipped.

  • On Line 7, an amount of $5,500 will be added if the taxpayer was under 50 years old by the end of 2023.

  • If the taxpayer was 50 or older by the end of 2023, the amount will increase to $6,500.