How much my tax return will be

how much my tax return will be

What's New for 2014

Publication 590 split. Starting in 2014, Publication 590 will be split into two separate publications as follows.

Publication 590-A, will cover contributions to traditional IRAs as well as Roth IRAs. This publication will include the rules for rollover and conversion contributions.

Publication 590-B, will cover distributions from traditional IRAs as well as Roth IRAs. This publication will include the rules for required minimum distributions and IRA beneficiaries.

Modified AGI limit for traditional IRA contributions increased. For 2014, if you were covered by a retirement plan at work, your deduction for contributions to a traditional IRA is reduced (phased out) if your modified AGI is:

More than $96,000 but less than $116,000 for a married couple filing a joint return or a qualifying widow(er),

More than $60,000 but less than $70,000 for a single individual or head of household, or

Less than $10,000 for a married individual filing a separate return.

If you either live with your spouse or file a joint return, and your spouse is covered by a retirement plan at work, but you are not, your deduction is phased out if your modified AGI is more than $181,000 but less than $191,000. If your modified AGI is $191,000 or more, you cannot take a deduction for contributions to a traditional IRA.

See How Much Can You Deduct . later.

Modified AGI limit for Roth IRA contributions increased. For 2014, your Roth IRA contribution limit is reduced (phased out) in the following situations.

Your filing status is married filing jointly or qualifying widow(er) and your modified AGI is at least $181,000. You cannot make a Roth IRA contribution if your modified AGI is $191,000 or more.

Your filing status is single, head of household, or married filing separately and you did not live with your spouse at any time in 2014 and your modified AGI is at least $114,000. You cannot make a Roth IRA contribution if your modified AGI is $129,000 or more.

Your filing status is married filing separately, you lived with your spouse at any time during the year, and your modified AGI is more than -0-. You cannot make a Roth IRA contribution if your modified AGI is $10,000 or more.

See Can You Contribute to a Roth IRA . later.

Qualified charitable distributions (QCDs). The provision for tax-free distributions from IRAs for charitable purposes does not apply for 2014 or later years.

At the time this publication was prepared for printing, Congress was considering legislation that would extend qualified charitable distributions from IRAs. To see if the legislation was enacted, go to www.irs.gov/pub17.

Source: www.irs.gov

Category: Taxes

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