There are two types of individual retirement accounts in the United States, the traditional IRA and the Roth IRA. Traditional IRA allows the deduction of annual contributions and retirement distributions are taxable. While the annual contribution to Roth IRA is not deductible and retirement distributions are non-taxable. In addition earnings on both are not taxable in the current year. To choose: The correct answer to determine maximum deductible IRA contribution by M and R for 2019

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Chapter 5, Problem 6MCQ

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Introduction:There are two types of individual retirement accounts in the United States, the traditional IRA and the Roth IRA. Traditional IRA allows the deduction of annual contributions and retirement distributions are taxable. While the annual contribution to Roth IRA is not deductible and retirement distributions are non-taxable. In addition earnings on both are not taxable in the current year.

To choose:The correct answer to determine maximum deductible IRA contribution by M and R for 2019

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