The code on your W-2 will automatically handle the income. You will manually enter the tax penalty. You will use the income amount in box 12 $150) to impose the tax rate of 20%. That is your additional taxable income from this nonqualified plan.
- Z: Income under section 409( A ) on a nonqualified deferred compensation plan. This amount is also included in Box 1. It is subject to an additional 20% tax plus interest.
@alexmeller
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
