I have been doing my taxes for several years now with TurboTax.. For about 3 years my wife was unemployed and TurboTax has suggested, and I've followed their advice of investing the maximum into an IRA in her name. I want do this again.. I have not qualified for a traditional IRA in a long time (both due to income and 401k at my job). She just started working again (November of 2006), however though she applied for IRA when she started, they would not deduct till February of 2007. When I get to the IRA analyzer in TT, they ask if she has a 401k at work. She does, but they did not allow her to contribute till February of 2007. When I check "Yes" to the 401k question, TT of course does not suggest the IRA, as has having a 401k precludes us from getting the deduction for her contribution. So the question is, Can I make the contribution and take the deduction for 2006, since she was not eligible for the 401k at her job till 2007. Thank you
Scott