The Internal Revenue Service reminded taxpayers Tuesday that they may be able to claim a deduction on their 2021 tax return for contributions to their individual retirement account made through April 18, 2022.
Contributions for 2021 can be made to a traditional or Roth IRA until the filing due date, April 18, but must be designated for 2021 to the financial institution, the IRS said.
Eligible taxpayers can contribute up to $6,000 to an IRA for 2021. For those 50 years of age or older at the end of 2021, the limit has increased to $7,000.
"Qualified contributions to one or more traditional IRAs may be deductible up to the contribution limit or 100% of the taxpayer's compensation, whichever is less," the IRS said. "There is no longer a maximum age for making IRA contributions."
Those who make contributions to a 401(k) or 403(b), an IRA or an Achieving a Better Life Experience (ABLE) account may be able to claim the Saver's Credit, the IRS said.
