Thanks for the reply. I forgot to mention that I have only had this Roth IRA account for 3 years. I have made more contributions than the early distribution I took out in that time. Hence why, when I added the contributions from previous years my 10% penalty TT initially calculated disappeared. But when I go online, I see there is mention of a five-year rule, which appears to imply if you have the Roth IRA for less than 5 years, you will need to pay the 10% penalty. TT asked if you have had the Roth account for more or less than five years, so I selected the less than 5 years, but it still removed the 10% penalty, so I didn’t have any costs associated with the early distribution. Is that correct, so no penalty even if you have had the Roth account for less than five years?
