recharacterization
My tax preparer told me because I did a recharacterization in April 2014 for tax year 2013 (from a Roth to a traditional IRA – all done timely) that I cannot use my $6500 traditional IRA contribution to off set my income for 2014. Is this correct?
Permalink Submitted by Alan - IRA critic on Sat, 2015-04-25 20:03
What you did with your 2013 contribution has nothing to do with your 2014 contribution, as that is a different contribution from the one you recharacterized. Whether you can deduct these TIRA contributions depends on your modified AGI and whether you are covered by a workplace retirement plan or not.
Permalink Submitted by Gwen Haney on Sat, 2015-04-25 23:40
This is very helpful, thank you