It’s not too late to qualify for a tax deduction that could save you more than $1,000 on your 2017 tax bill. You have until April 15, 2018, to make an Individual Retirement Account (IRA) contribution that can reduce the taxes you owe for the tax year 2017.
Individuals can contribute up to $5,500 to an IRA in 2017, or $6,500 if they are age 50 or older. The tax savings from making an IRA contribution in 2017 can be substantial. If an individual who is in the 25 percent tax bracket contributes $5,000 to a traditional IRA, he or she will save $1375 on the current tax bill. He or she also will defer paying taxes on the IRA until the money is withdrawn after age 59 ½.
To open an IRA or to learn more, please call Focus Financial at 918-266-2787.