You can repay your loan before the filing deadline to avoid penalty and the extra amount due.
Prior to the passage of the Tax Cuts and Jobs Act of 2017, participants who had left employment with an outstanding loan were expected to pay off the balance within 60 days of separation or face a 10% withdrawal penalty and have the distribution be considered taxable income. The Tax Cuts and Jobs Act of 2017 provides a greater repayment window, as individuals now have until the filing deadline of their individual tax return to avoid the tax consequences of a deemed distribution of an outstanding plan loan.
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