Yes, if the SEP-IRA contributions meet the IRS rules. The most you can deduct on your business’s tax return for contributions to your employees’ SEP-IRAs is the lesser of your contributions or 25% of compensation. (Compensation considered for each employee is limited and subject to annual cost-of-living adjustments).
If you're self-employed and contribute to your own SEP-IRA, there is a special computation to figure the maximum deduction.
For additional information, see the following IRS article: SEP Plan FAQs - Contributions.
Related information:
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
