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Scenario $4$: HSA Funding Exception $($The IRA$-$HSA One$-$Time Rollover$)$

Brian retired at age $56$ and has health insurance with a high$-$deductible plan. He wants to fund his HSA and takes a $$20,000$ distribution from his Traditional IRA.

Wages: $$36,000$

Interest and Dividend Income: $$1,800$

Itemized Deductions: $$17,000$

Allowable deduction for self$-$employment tax: None

Questions:

Is Brian eligible for the one$-$time IRA to HSA rollover?

How does this exception work, and are there any age or income restrictions?

Calculate AGI, Taxable Income, and Total Tax Liability