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How do I declare roth IRA contribution for taxes?
I contributed $5,000 to my roth IRA in 2008. How do I declare this when filing taxes? My company has not provided any 1099 or other document, are they supposed to? I plan to file my taxes using Turbo Tax, how/where should I declare the contribution?
Awesome, thanks for the answers. I knew it wasn't tax deductible, I just thought I had to declare the contribution as income. Thanks all for the clarification.
6 Answers
- Chuckie OLv 71 decade agoFavorite Answer
The Roth IRA does not give you a tax deduction for the year you contribute. It is made with "after tax" dollars. That's the bad news.
The good news is it isn't taxed (hopefully still won't when you retire) when you take the money out.
Either way, you don't put it anywhere on the Form 1040.
- Bostonian In MOLv 71 decade ago
Roth contributions are not tax deductible so you don't report them anywhere. Your benefit is on the back end when you retire and the distributions are totally TAX FREE at that time. In most cases you will do far better in the long run with the tax free accumulation and distributions of a Roth account unless you are retiring in a very few years and know for a fact that your income will be in a lower tax bracket at retirement.
- StephenWeinsteinLv 71 decade ago
NOWHERE. You do not declare Roth IRA contributions anywhere when filing taxes.
- Anonymous5 years ago
You coach them on your tax go back, even if the contribution would not shrink your earned earnings, so it would not set off a refund of the tax you paid already. yet another significant aspect is that you may withdraw the deposits you made at any time without paying tax.
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- chatsplasLv 71 decade ago
DON'T.
It's Post-tax dollars.
Why aren't you contributing to a 401k or traditional IRA? Then you get tax advantages. Can make contribution to IRA up to tad date.
Source(s): tax pro - JudyLv 71 decade ago
The income is already in your W-2 when you earned it, so you are already paying the tax on it.