TAX TREATMENT OF XXXX XXX CONTRIBUTIONS. No Deduction. You may not take a tax deduction for Xxxx XXX contributions. Tax Credits for Contributions. You may be eligible to take a tax credit for your Xxxx XXX contribution. The maximum annual tax credit is $1,000 and, if you are eligible, the credit will reduce the federal income tax you owe dollar for dollar. You may be eligible for the tax credit if you are age 18 or older, not a dependent of another taxpayer, not a full-time student, and have adjusted gross income (AGI) within any applicable limits. DISTRIBUTIONS DURING YOUR LIFETIME Distribution Ordering Rules. The “ordering” rules treat distributions as coming from the following categories in the following order:
Appears in 8 contracts
Samples: Roth Individual Retirement Account Custodial Agreement, Traditional Individual Retirement Account Custodial Agreement, Roth Individual Retirement Account Custodial Agreement
