Dear Liz: Now that we’re not required to file our taxes until July 15 this year, has anything been said about pushing back the 2019 contribution deadline for IRAs and Roth IRAs?
Answer: The IRS recently confirmed that the deadline for making contributions to IRAs has also been extended to July 15. The deadlines were pushed back from April 15 because of stay-at-home orders and other disruptions stemming from the coronavirus outbreak.
You can contribute up to $6,000 to IRAs for 2019 if you’re under 50, or $7,000 if you’re 50 or older. The limits are the same for 2020.
You didn’t ask, but the deadline for contributing to a health savings account also has been extended.
HSAs allow people with qualifying high-deductible health insurance plans to put away money that can be used tax-free for eligible medical expenses. The maximum amount individuals can contribute to an HSA is $3,500 for individual coverage and $7,000 for family coverage. The “catch up” provision for people 55 and older allows an additional $1,000 contribution.
I have a question on my IRA. What type, if any, taxes apply if i buy and sell stocks just in my IRA?
No taxes are owed until you withdraw money, and then it’s taxed as income.