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Retirement tax questions
That part of the software is still being worked on....come back to deal with it after the end of the month (Just a guess)
The income will be able to be spread over three years, but the taxes withheld will be credited only to your 2020 tax. So you will have to plan for making sure you have sufficient prepaid taxes to cover the 1/3 of income in each of the remaining years......either thru quarterly estimated tax payments, or extra withholding if you have a W-2 job.
(OR...if you end up with a Federal refund, when you file, you could apply all, or a portion of the refund to the next Federal year's taxes. That would work too. )
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
‎January 7, 2021
5:47 AM