From what I have entered so far, I will owe $360 on my federal tax return. If I contribute to my existing IRA, can I deduct the amount of my contribution?

[KrisD · Accepted solution]

Not from your tax, but possibly from your taxable income.

The IRA contribution is not a refundable credit, so it won't be subtracted from your tax liability, but it is an adjustment. This means (if you are eligible) it will be subtracted from your income before your Adjusted Gross Income is computed.

This normally lowers your taxable income which means you end up with a lower tax liability.

Enter the contribution to see how it affects your tax due/refund amount.

If you decide it wouldn't be worth it, you can delete the entry.

You can report a contribution on your tax return today, as long as you make the contribution by April 18th, 2017.