Tax Topic 22 - Contributions for IRAS and Pension Plans

In this tax topic you will learn about individual retirement arrangements (IRAs). You will learn the advantages of setting up an IRA. An IRA is a personal savings plan that provides you with tax advantages for setting aside money for when you retire. These advantages are contributions being partially or fully deductible and amounts that you put in IRAs are not taxed until distributed and there it is possible that these amounts will not be taxed at all if distributed according to the rules. Here, you will learn rules to follow in setting up an IRA, contributing to an IRA, transferring money or property to and from an IRA, handling an inherited IRA, receiving distributions from an IRA, and taking a credit for contributing to an IRA. In addition, you will also become aware of penalties and additional taxes that apply if rules are not followed. 

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Student Instructions:

Print this page, work on the questions and then submit test by mailing the answer sheet or by completing quiz online.

Instructions to submit quiz online successfully: Step-by-Step check list

Answer Sheet            Quiz Online

Most forms are in Adobe Acrobat PDF format. You will need Adobe Reader to view and print these forms. If you do not already have Adobe Reader installed on your computer, you may download the software for free.

Please use IRS Publication 590 and Form 1040 Instructions (Form 1040 instructions only up to page 98) to complete this tax topic.

Please note: Form 1040 Instructions (Form 1040 instructions only up to page 98) will be used for the rest of the topics in the initial tax preparer certification course. You will be responsible to answer questions from the Form 1040 instructions booklet (up to page 98) on every topic so read it carefully.