Question

Can I get direction on how to report Roth IRA contributions on my return?

Answer

A Roth IRA is a retirement savings account that allows individuals to withdraw amounts tax-free. Roth IRA accounts are funded with after-tax dollars—meaning you will pay taxes on it when you deposit the funds.

Roth contributions aren’t tax-deductible, and qualified distributions aren’t taxable income. So you won’t report them on your return. If you receive a nonqualified distribution from your Roth IRA you will report that distribution on IRS Form 8606. Learn more about reporting non-deductible Roth IRA contributions.

Tax Credit Associated with Roth IRA Contributions

You might be eligible for the Saver’s Credit based on your Roth IRA contributions. To learn more, see the instructions for Form 8880.

Where to Go for More Tax Help with Retirement Savings Accounts

Do you have retirement savings accounts and are looking for a way to maximize your tax savings? Learn more about ways to file with H&R Block. From in-person to virtual tax prep offerings, we’ll help you get every tax credit and deduction you deserve.

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