Retirement tax questions


@kyleodell33 wrote:

The code is L1. It was a loan on the 401k that we did not pay back when my wife stopped working.


After entering the Form 1099-R and going through all the questions you will land on a screen that states These Situations May Lower Your Tax Bill, enter the amount of the distribution in the box labeled Other Reason

 

The 10% early withdrawal penalty will be removed.