Mr. and Mrs. DM file a joint tax return. Each spouse contributed $3,800 to a traditional IRA. In each of the following cases, compute the deduction for these contributions. The AGI in each case is before any deduction.
a. Neither spouse is an active participant in a qualified retirement plan, and their AGI is $123,400.
b. Mr. DM is an active participant, but Mrs. DM is not. Their AGI is $123,400.
c. Both spouses are active participants, and their AGI is $89,200.
d. Mr. DM is self-employed and doesn’t have a Keogh plan. Mrs. DM is an active participant. Their AGI is $107,400.