When I was going through the Federal Review in TurboTax for Mac, it prompted me about an IRA contribution. It allowed me to enter it and get a tax deduction despite my AGI being well above the $214K limit for married filing jointly. It allowed me to put in $7000 (over 50) and $6000 for my wife. My employer doesn't offer a retirement plan, so could that be why, or is TurboTax wrong on this?
I thought maybe it was looking at my taxable income after all my itemized deductions, which is under the limit, but according to my research, it uses MAGI to compute it, which, again, is well over.
