Why is Proseries considering a $7500 traditional IRA contribution for a 60 year old as excessive and taxable at 6%

[IRonMaN]

Because based on the information loaded into the return, the client didn't qualify for the contribution?

[Just-Lisa-Now-]

look at the IRA contribution worksheet and follow the money through the computation.

[jjmcgiii50]

On the IRA Contribution Worksheet the maximum is $7,500 per taxpayer.  Line 1 is $7,500, Line 5 is $7,500, Line 9 is $7,500, Line 12 is $0.  On the IRA Deduction Worksheet, Lines 3 and 4 are $7,500 for each taxpayer; Lines 10 and 16 are $0.

[Just-Lisa-Now-]

I cant follow that.   Look at the worksheet between Lines 13 and 14, those quickzoom buttons should show you the calculation that makes the amount in excess.

[Jim-from-Ohio]

does the taxpayer have earned income

[Just-Lisa-Now-]

Until some facts are presented, I think were all just stuck guessing.

[jjmcgiii50]

Interest, dividend and rental income through K-1's, and I appreciate everyone's assistance.

[sjrcpa]

None of that is earned income.

[qbteachmt]

"Interest, dividend and rental income"

From: https://www.irs.gov/taxtopics/tc451

"To contribute to a traditional IRA, you, and/or your spouse if you file a joint return, must have taxable compensation, such as wages, salaries, commissions, tips, bonuses, or net income from self-employment."