Are IRA contributions deducted when calculating gross income for dependent status?

Jimborooney · ‎October 18, 2020

Critter-3 · ‎October 19, 2020

You are correct but you need to use some IRS logic ... it is called total income ... next line are the total adjustments ... which makes the next line the AGI... so if you work backward the total income line is the gross income if after adjustments it is the AGI.

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macuser_22 · ‎October 18, 2020

Explain what you are asking.

IRA contributions have nothing to do with a dependent.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

VolvoGirl · ‎October 18, 2020

They probably want to know if they can deduct IRA contributions to get under the 4,200 income to be claimed as a dependent.

macuser_22 · ‎October 18, 2020

The answer to that is NO. Only taxable compensation can be used for a IRA contribution and any taxable compensation, by definition, is income included in the $4,200 limit.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

Jimborooney · ‎October 18, 2020

Thanks for the quick replies. What confused me is there is no line titled “gross income“ on the 1040, and IRA contribution deductions are factored into Adjusted Gross Income.

Critter-3 · ‎October 19, 2020

You are correct but you need to use some IRS logic ... it is called total income ... next line are the total adjustments ... which makes the next line the AGI... so if you work backward the total income line is the gross income if after adjustments it is the AGI.

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Are IRA contributions deducted when calculating gross income for dependent status?