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Only if paid from outside funds - not is paid from within the IRA itself.
However, it is an miscellaneous itemized deduction. Miscellaneous itemized deductions must be reduced by 2% of your AGI and if anything is left, then it is added to all other itemized deductions and would have no benefit to you unless the total of all of your other itemized deductions exceed your standard deduction.
For 2016 the standard deductions are:
Single or filing Married Filing Separately - $6,300
Married Filing Jointly or Qualifying Widow(er) - $12,600
Head of Household - $9,300
(If over 65 or blind add $1,250 - $1,550 if filing single or HOH)
For example: If your AGI is $50,000 then 10% of that is $5,000. All of your miscellaneous deductions would have to exceed $5,100 before there is any deduction at all, then if you are Married Filing Jointly, that deduction and all other itemized deductions must exceed $12,600 before you would have any tax benefit.
Only if paid from outside funds - not is paid from within the IRA itself.
However, it is an miscellaneous itemized deduction. Miscellaneous itemized deductions must be reduced by 2% of your AGI and if anything is left, then it is added to all other itemized deductions and would have no benefit to you unless the total of all of your other itemized deductions exceed your standard deduction.
For 2016 the standard deductions are:
Single or filing Married Filing Separately - $6,300
Married Filing Jointly or Qualifying Widow(er) - $12,600
Head of Household - $9,300
(If over 65 or blind add $1,250 - $1,550 if filing single or HOH)
For example: If your AGI is $50,000 then 10% of that is $5,000. All of your miscellaneous deductions would have to exceed $5,100 before there is any deduction at all, then if you are Married Filing Jointly, that deduction and all other itemized deductions must exceed $12,600 before you would have any tax benefit.
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