topic Re: 2 businesses in Retirement tax questions

2 businesses

sdsaavedra — Tue, 06 Jul 2021 01:29:04 GMT

If I made $8,000 from one self-employed business & lost $9,000 in another distinct self-employed business. Can I contribute to an IRA for the profitable business? Thank you.

Re: 2 businesses

macuser_22 — Tue, 06 Jul 2021 02:19:08 GMT

That does not sound like you had any net taxable compensation.

You can only contribute to an IRA if you have net taxable self-employed income as reported on the 1040 schedule 1 line 3 minus schedule 1 lines 14 plus 15 (or you also have w-2 box 1 income).

Re: 2 businesses

sdsaavedra — Thu, 08 Jul 2021 17:31:00 GMT

Thank you! And thank you for making it so clear 🙂

Shawn