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Get your taxes done using TurboTax
Yes, it sounds a though you answered your own question.
Ordinary income is income that is taxed at your regular income tax rate, rather than the long term capital gains tax rate.
In the context of the sale of business property, this is the part of the gain that is due to depreciation adjustments, in other words "gain subject to recapture as ordinary income".
Earned income is wages and self-employment income subject to self-employment tax, and a few other less common types of income. So, no your income does not allow you to make a Roth contribution.
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‎April 18, 2023
1:27 PM