dmertz
Level 15

Deductions & credits

"You won't get a Saver's credit if you have had distributions."

 

That's a very misleading statement.  Distributions from your own qualified retirement accounts, your spouse's qualified retirement accounts and any qualified retirement accounts inherited from a spouse reduce the amount of new retirement contributions that qualify you or your spouse for the credit, but, depending on the amount involved,  that won't necessarily eliminate the credit.