To enter the exception, please perform the following steps.
- Log into turbo tax
- Go to federal>income and expenses
- Retirement plans and Social Security>show more
- Ira (401K), pension plan Withdrawals(1099R) Start
- After entering your 1099R you will scroll through several screens until you reach a screen that says Tell us if any of these uncommon situations apply
- Here you will select the first choice
- I took out this money because of a qualified disaster (includes COVID-19)
- Scroll through the next few screens until you reach a screen that says is this a withdrawal due to COVID-19 or a Qualified Disaster Distribution?
- You will say yes, this was withdrawn due to COVID 19
- Next screen says COVID-19 distribution Here you will indicate that all or some was a COVID 19 withdrawal.
- Eventually you will reach a screen that says Let's check if you're exempt from additional taxes. How you answer these questions will determine if your exempt from additional taxes such as the early withdrawal penalty.
[Edited 03-02-2021|05:40 PM PST]
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