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Is there a way to avoid penalties and taxes on an earlyIRA distribution if it was due to fraud?
Wife was tricked into withdrawing 30k from IRA. then returned the 30k, then withdrew 35k with a 1099 showing 65k. The money went to a con man in another country so why are we being double penalized? How do we even enter this in our taxes so we are only taxed/penalized for the actual 35k that was withdrawn and not penalized for the 30k "contribution" when it was temporarily put back?
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‎February 15, 2023
8:41 AM