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Retirement tax questions
MarilynG1, Employee Tax Expert:
Code T is "Roth distribution, exception applies." Code T does not indicate "Payor does not know if the 5-year holding period has been met."
If 1009-R box 7 has distribution code T, TurboTax will assume that there is indeed an exception and will not compute a penalty.
March 29, 2021
1:53 AM