mrichman333 Posted February 12, 2016 Report Posted February 12, 2016 OK, I know the answer to this but I'm asking just in case. I have a MFJ Tax Payer, both have businesses that made a profit, they also own a farm (business ?) jointly that had a big loss and wiped out their taxable income. So do they or do they not have taxable compensation for ROTH purposes? Quote
joanmcq Posted February 13, 2016 Report Posted February 13, 2016 They do not. Net employment income is zero. 1 Quote
mrichman333 Posted February 13, 2016 Author Report Posted February 13, 2016 That's what I said, sorry no you cannot contribute. What is the farm belongs to one spouse and not both? Can one that still has a profit contribute? Quote
kcjenkins Posted February 15, 2016 Report Posted February 15, 2016 Yes, each IRA belongs to the individual, so if either has positive earned income that one can contribute to an IRA. 1 Quote
Gail in Virginia Posted February 17, 2016 Report Posted February 17, 2016 Actually, if EITHER has positive income, then they can both contribute - one to a "spousal" IRA, as long as the total contributed does not exceed the total earned, and, of course, the limits. 2 Quote
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