Which of the following statements regarding IRAs is false?
A)Taxpayers who participate in an employer-sponsored retirement plan may be allowed to make deductible contributions to a traditional IRA.
B)The ability to make deductible contributions to a traditional IRA and nondeductible contributions to a Roth IRA may be subject to phase-out based on AGI.
C)A taxpayer may contribute to a traditional IRA in 2014 but deduct the contribution in 2013.
D)Taxpayers who have made nondeductible contributions to a traditional IRA are taxed on the full proceeds when they receive distributions from the IRA.If taxpayers make nondeductible contributions to a traditional IRA,they are taxed on only a portion of any distributions received.That is,the distribution is split into an income portion and a nontaxable return of capital portion.

Question

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The Answer of Which of the following statements regarding IRAs is false?
A)Taxpayers who participate in an employer-sponsored retirement plan may be allowed to make deductible contributions to a traditional IRA.
B)The ability to make deductible contributions to a traditional IRA and nondeductible contributions to a Roth IRA may be subject to phase-out based on AGI.
C)A taxpayer may contribute to a traditional IRA in 2014 but deduct the contribution in 2013.
D)Taxpayers who have made nondeductible contributions to a traditional IRA are taxed on the full proceeds when they receive distributions from the IRA.If taxpayers make nondeductible contributions to a traditional IRA,they are taxed on only a portion of any distributions received.That is,the distribution is split into an income portion and a nontaxable return of capital portion.

Which of the Following Statements Regarding IRAs Is False