2021 AGI Phase-Out Ranges for Traditional and Roth IRA Contributions to be used for this problem.

2021 AGI Phase-Out Ranges for Deductible Traditional IRA Contributions
Type of Taxpayer	Phase-Out Range
Single or HOH, not a plan participant	No phase-out
Single or HOH, active plan participant	$66,000$76,000
Married filing jointly, both active participants	$105,000$125,000
Married filing jointly, neither active plan participants	No phase-out
Married filing jointly, one an active participant:	(See Note 1 below)
Active participant spouse	$105,000$125,000 (Joint AGI)
Nonactive participant spouse	$198,000$208,000 (Joint AGI)
Note 1: When one spouse is an active participant in a retirement plan and the other is not, two separate income limitations apply. The active participant spouse may make a full deductible IRA contribution unless the $105,000$125,000 phase-out range applies to the couple's joint income. The spouse who is not an active participant may make a full deductible IRA contribution unless the higher $198,000$208,000 phase-out range applies to the couple's joint income.

2021 AGI Phase-Out Ranges for Roth IRA Contributions
Filing Status	AGI Phase-Out Range
Single or HOH	$125,000$140,000
Married filing jointly	$198,000$208,000
Note: Active plan participation status is not relevant to the Roth IRA phase-out calculation. Special rules apply to married filing separate taxpayers.

a. During 2021, George (a 24-year-old single taxpayer) has a salary of $48,000, dividend income of $14,000, and interest income of $4,000. In addition, he has rental income of $1,000. George is covered by a qualified retirement plan.

Calculate the maximum regular IRA deduction that George is allowed. $fill in the blank 1

b. During 2021, Irene (a single taxpayer, under age 50) has a salary of $119,500 and dividend income of $10,000.

Calculate Irene's maximum contribution to a Roth IRA. $fill in the blank 2

c. Wanda, a single taxpayer age 63, takes a $10,000 distribution from her traditional IRA to purchase furniture for her home. Over the years she has contributed $36,000 to the IRA which had a $50,000 balance at the time of the distribution.

Determine how much of Wandas distribution is taxable. $fill in the blank 3

d. Same as part c., except the distribution is from a Roth IRA.