The modified adjusted gross income (MAGI) amounts for the retirement savings contribution credit (Saver's Credit) have been increased by 4% for tax year 2007.
You may be able to claim the credit if your MAGI is not more than:
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$52,000 if your filing status is married filing jointly,
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$39,000 if your filing status is head of household, or
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$26,000 if your filing status is single, married filing separately, or qualifying widow(er).
About the Retirement Savings Contribution Credit
You may be able to take the credit if you make eligible contributions to a qualified retirement plan, an eligible deferred compensation plan, or an individual retirement arrangement (IRA). The tax credit can be up to $1,000 ($2,000 if married filing jointly). The credit is not available to taxpayers under age 18, full-time students of any age, and dependents.
The credit applies to the first $2,000 ($2,000 for each spouse if married filing jointly) of eligible contributions to a qualified retirement plan, an eligible deferred compensation plan, or an individual retirement arrangement (IRA).
The credit is based on filing status and MAGI and can either be 50%, 20%, or 10% of the first $2,000 ($2,000 for each spouse if married filing jointly).