IRS Publication 590 provides extensive information on how to handle tax contributions to individual retirement accounts, reports Intuit. The most crucial regulations covered in the publication involve deduction limits for contributions and required minimum contributions.Continue Reading
If a taxpayer does not understand these regulations and how to best take advantage of them, the tax benefits of an IRA are largely wasted, warns Intuit. IRS Publication 590 educates the taxpayer on this topic. The first part of the publication features a comprehensive and detailed discussion of traditional IRAs. A taxpayer's contributions to this type of IRA are, in large part, tax-deductible. However, there are situations in which a contribution is not tax-deductible, and there are annual limitations on the allowed amount of contributions. The tax-deductible contribution amount and other regulations may vary from year to year, so Publication 590 is an annual publication. The second part of the publication covers regulations pertaining to Roth IRAs.
In the tax year of 2013, IRS Publication 590 was broken up into two publications, Publication 590-A and Publication 590-B, informs the Internal Revenue Service. Publication 590-A discusses regulations for rollover and conversion taxpayer contributions. Publication 590-B covers required minimum distributions and beneficiaries. Both publications concern traditional and Roth IRAs.Learn more about Taxes