My husband had to retire last year because of Covid-19 complications and total and permanent disability. His last day at work was September 15, 2020 and he was disabled as of September 16, 2020. He received his retirement and 401k in a lump sum. We elected to spread the $100,000 excess over 3 years with the CARES Act. We were still assessed a 10% penalty on the other part of the distribution. I didn't know that being disabled exempted that 10% penalty. Do I need to file a 1040x? How else do I report the change? Will we receive a refund of the 10% early penalty withdrawal that was in excess of the $100,000?
