We get this question a lot at this time of the year.    If your tax return is on extension and you are now preparing the return, can you still make an IRA contribution?

Maybe, but generally the short answer is No. The deadline for making most IRA or Roth IRA contributions is April 15th for the prior year contribution. Extending the return doesn’t change that.

Generally, there is no extension of time to make the IRA contribution, but as with almost every IRA rule there are exceptions.

Exceptions:

If you are in a federally declared disaster areas may qualify for an extension in order to complete transactions for their retirement accounts, including making contributions.  Check out this list to see if you qualify.

Military personnel in combat zones may qualify for extra time to make IRA contributions.  Helpful additional info from the IRS

Here’s the most common exception: SEP IRAs.  The due date for establishing and making a SEP IRA contribution is the due date of the business tax return, including extensions.  So, any business owner who is having the tax return prepared now, in July, could still establish a SEP plan and make a SEP contribution for last year.  Info here & SEP setup forms here

 

If you have any questions or comments about the information included here, please contact one of our retirement plan specialists (Anita Hayes, Mindy Norton or Sonya Waddell).