8.5 Active Participation in Employer Plan
Active participants in an employer retirement plan are subject to the phaseout rules for deducting contributions (8.4). When a married couple files jointly and only one of the spouses was an active plan participant for the taxable year, a more favorable phaseout range applies to the non-participant spouse than to the spouse who was an active participant (8.4).
An employer retirement plan means:
Form W-2.
If your employer checks the “Retirement plan” box within Box 13 of your 2012 Form W-2, this indicates that you were an active participant in your employer’s retirement plan during the year. If you want to make a contribution before you receive your Form W-2, check the following guidelines and consult your plan administrator for your status.
Type of plan.
Under any type of plan, if you are considered an active participant for any part of the plan year ending with or within your taxable year, you are treated as an active participant for the entire taxable year. Because of this plan ...
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