Error Code 1040FD448 - IRA Deduction

[Janitor Bob]

Client's return was rejected with error code 1040FD448. This error states as follows:

If taxpayer is age 70-1/2 at end of tax year and IRS deduction of Form 1040 or Form 1040A is significant, taxpayer cannot deduct any contribution to traditional IRA or treat them as nondeductible contributions for they are ineligible for IRA deduction.

Taxpayer is age 60 at end of year!

[Janitor Bob]

Does anybody know where I can get the IRS description of this error? My 1345A still states "Reserved" for this error!

[David1980]

Does anybody know where I can get the IRS description of this error? My 1345A still states "Reserved" for this error!

Hmm, is this a MFJ return where taxpayer is over 70.5 and spouse is under, and contribution is for spouse? That's a known issue w/the IRS, they had an alert about it getting fixed. As I recall it was late February they expected to be able to take those (though switching taxpayer/spouse on return would probably do it.)

Or is it a single filing status? If single, it could mean they broke it more trying to fix the above. Either that or IRS has date of birth on record indicating taxpayer is over 70.5. But given the earlier screw up with 448 I wouldn't jump to that conclusion.

At any rate, you can find all the updated codes in Pub 1346.

http://www.irs.gov/pub/irs-utl/ty08_pub_13..._attch_1_11.pdf

1345 for some reason has been neglected since 2005.

[Janitor Bob]

Hmm, is this a MFJ return where taxpayer is over 70.5 and spouse is under, and contribution is for spouse? That's a known issue w/the IRS, they had an alert about it getting fixed. As I recall it was late February they expected to be able to take those (though switching taxpayer/spouse on return would probably do it.)

Or is it a single filing status? If single, it could mean they broke it more trying to fix the above. Either that or IRS has date of birth on record indicating taxpayer is over 70.5. But given the earlier screw up with 448 I wouldn't jump to that conclusion.

At any rate, you can find all the updated codes in Pub 1346.

http://www.irs.gov/pub/irs-utl/ty08_pub_13..._attch_1_11.pdf

1345 for some reason has been neglected since 2005.

Thanks...Taxpayer is single and age 60 at end of 2008....not sure about this...is it possible that Social securtiy has incorrect date of birth and thus age data? If this does not go away, I will have client contact SSA.

[LindaB]

At any rate, you can find all the updated codes in Pub 1346.

http://www.irs.gov/pub/irs-utl/ty08_pub_13..._attch_1_11.pdf

1345 for some reason has been neglected since 2005.

Thanks for this link, I've been using the same 1345A for a few years but figured I'd have to update it some time.