acs11012
Returning Member

Cares act withdrawal pay back

Until when do you have to deposit money withdrawn from a 401k last year? The withdrawal qualified for covid/cares act so we have three years to pay it back. Just wondering when the deadline is to affect 2020 taxes 

RayW7
Expert Alumni

Get your taxes done using TurboTax

Form 8915-E for 'Qualified 2020 Disaster Retirement. Plan Distributions and Repayments' is now available for filing.  TurboTax will walk you through each question to determine the best filing options to take advantage of the Coronavirus Relief Tax Rules and You.

 

You can spread the taxable income over a three-year period or include the full distribution in your taxable income for 2020.

 

You can also put the money back into your retirement plan within three years and undo the tax consequences by filing an amended tax return.

 

-follow this link for more information-

2020 Stimulus: Tax Relief for This Year's Taxes - TurboTax ...

acs11012
Returning Member

Get your taxes done using TurboTax

But my question is if I haven’t filed yet, can I still put money into a qualified account to affect 2020 taxes? 

RayW7
Expert Alumni

Get your taxes done using TurboTax

Yes, To qualify for the full annual IRA deduction in 2020, you must: not be eligible to participate in a company retirement plan, or if you are eligible, you must have adjusted gross income of $65,000 or less for singles, or $104,000 or less for married couples filing jointly.

 

In addition, if you haven't already funded your retirement account for 2020do so by April 15, 2021. That's the deadline for contributions to a traditional IRA, deductible or not, and to a Roth IRA.