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zman192
New Member

Why is it saying that I am excessively contributing to my Roth IRA account when my last year's contribution was only $300?

 
1 Reply
DanaB
Intuit Alumni

Why is it saying that I am excessively contributing to my Roth IRA account when my last year's contribution was only $300?

Please be aware that your Roth IRA contribution might be limited based on your filing status and income. Please see 2018 - Amount of Roth IRA Contributions You Can Make for 2018 for detailed information.

Excess contributions are taxed at 6% per year as long as the excess amounts remain in the IRA. The tax can’t be more than 6% of the combined value of all your IRAs as of the end of the tax year.

To avoid the excess contributions tax:

  • withdraw the excess contributions from your IRA by the due date of your individual income tax return (including extensions); and
  • withdraw any income earned on the excess contribution.
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