Retirement tax questions

This section of TurboTax is ready.  If this was a Covid related distribution, you will not have the 10% penalty to pay.  The 8915-E will be used for penalty relief from early retirement plan distributions and include the option to spread the distribution income over 3 years.  This may be a good option if the distribution is pushing you into a higher marginal tax bracket.  You may end up paying less tax if you spread the distribution over the 3 years.

You may need to delete the 1099R and re-enter it.  In the Uncommon Situations screen, make sure and indicate this is a Covid distribution.  This is the screen directly after you enter your 1099R.

 To delete your 1099R and re-enter, after you have logged in and are in your return in TurboTax Online:

• Go to Search at the top of the screen.
• Enter Form 1099-R in the search box. 
• You will see a Jump To function that will take you to the 1099-R input screens. 
• Delete the 1099R in question by clicking on the trash can next to the form
• Then add a new 1099R and manually enter your 1099R.

At the financial services screens, click "Change how I enter my form" then "Type it myself"