Making a last-minute contribution to an IRA may help you reduce your 2020 tax bill. If you qualify, your traditional IRA contribution may be tax deductible. And if you had low to moderate income and meet eligibility requirements, you may also be able to claim the Saver's Credit for 2020 based on your contributions to a traditional or Roth IRA. Claiming this nonrefundable tax credit may help reduce your tax bill and give you an incentive to save for retirement. For more information, visit irs.gov.
You have until your tax return due date (not including extensions) to contribute up to $6,000 for 2020 ($7,000 if you were age 50 or older on December 31, 2020) to all IRAs combined. For most taxpayers, the contribution deadline for 2020 is April 15, 2021.