Taxation of Retirement Plan Benefits (6)

Question 1

collectibles are an acceptable investment for an IRA?

Answer 1

Coins and bullion

Question 2

Hal and Joy Knox are married and file a joint return in 2013. Hal had no income during the year and Joy earned $100,000. Neither spouse was a member of a qualified retirement plan. What is the maximum allowable traditional IRA deduction if both are age 64?

Answer 2

$13,000

Question 3

A calendar-year individual is eligible to contribute to a deductible IRA. The taxpayer obtained a 6-month extension to file until October 15 but did not file the return until November 1. What is the latest date that an IRA contribution can be made in order to qualify as a deduction on the prior year’s return?

Answer 3

April 15

Question 4

Gene and Olive Olson are married and file a joint return in 2013. The Olsons are both active participants in qualified retirement plans. The Olsons have adjusted gross income of $105,000 for 2013 and each contributed $5,500 to a traditional IRA. What is the deduction for IRA contributions for the Olsons in 2013?

Answer 4

$5,500

Question 5

What retirement plan rollovers is taxable?

Answer 5

Rollover of a traditional IRA into a Roth IRA