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Level 2
posted Jan 26, 2023 8:11:38 PM

does SIMPLE IRA amount also get included in officer compensation

Not sure this is the right place to post, but I found no "Post Question" link on the community home page.

I'm using TurboTax business filing for a C-Corp. My question is as stated in the title, does the SIMPLE IRA amount also get included in officer compensation or not?

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1 Best answer
Expert Alumni
Jan 27, 2023 9:08:57 AM

No, the contribution to the simple IRA is not included in the officer compensation. Form 1120 instructions for Line 12  (page 11) provides specific guidance regarding your question. The paragraph below from the instruction directly addresses your questions.

 

"Do not include compensation deductible elsewhere on the return, such as amounts included in cost of goods sold, elective contributions to a section 401(k) cash or deferred arrangement, or amounts contributed under a salary reduction SEP agreement or a SIMPLE IRA plan."

1 Replies
Expert Alumni
Jan 27, 2023 9:08:57 AM

No, the contribution to the simple IRA is not included in the officer compensation. Form 1120 instructions for Line 12  (page 11) provides specific guidance regarding your question. The paragraph below from the instruction directly addresses your questions.

 

"Do not include compensation deductible elsewhere on the return, such as amounts included in cost of goods sold, elective contributions to a section 401(k) cash or deferred arrangement, or amounts contributed under a salary reduction SEP agreement or a SIMPLE IRA plan."