Will our taxes be any lower if my 62 year old wife takes $6500 from her 401k and puts it in her IRA acct, then takes that $6500 out of the IRA and pays down our mortgage?

[Fred6]

She retired 3/31/2017 and is no longer earning income. Estimated income this year for us might be 92-95,000 vs app $115 last year. Our other deductions are fairly standard. 

[SweetieJean]

"pays down our mortgage"
Mortgage principal is not deductible, just interest.

[jerry2000 · Accepted solution]

No, that will not reduce your taxes, it will increase them if the 401k/IRA contributions were made with pre-tax money.. What you use an IRA distribution for has no effect on your taxes.

[Opus 17]

 No, assuming that you have earned income and are eligible to make the IRA contribution, the contribution is tax-deductible but the withdrawal is taxable so it's a wash.