I am not having a problem with deduction of the IRA. I do not qualify for that. But my spousal IRA is being taxed on the contribution when I should be allowed to contribute $8000k for 2025 without paying taxes on that contribution.
The spousal IRA does not have any income limits other than that the spouse must make enough money to fund the spousal IRA (plus their own if they choose to do so).
I believe you are referring to the rules for being able to DEDUCT an IRA.
Where the spousal IRA is deductible or not is based on income. HOWEVER, no spousal IRA contribution to a traditional IRA should be taxed so long as the spouse makes enough income to cover it.
There must be a BUG in TURBOTAX. Does anyone know a way around it? I appreciate any help.
I'll re-post. Perhaps this does not belong under deduction for ira.
