MinhT1
Expert Alumni

Get your taxes done using TurboTax

No.

 

You will not be taxed in 2022 for the amount not withdrawn, but you must file form 5329 and will be assessed a tax penalty of 50% of the amount not withdrawn.

 

The penalty may be waived if the account owner establishes that the shortfall in distributions was due to reasonable error and that reasonable steps are being taken to remedy the shortfall. In order to qualify for this relief, you must file Form 5329 and attach a letter of explanation. 

 

You must then file your tax return by mail.

 

Please read this IRS document for more information

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"