In TurboTax, please follow these steps:
- After you have entered all your forms 1099-R, on the summary page Review your 1099-R Info, click Continue
- Follow the interview until you arrive at the page titled Let's See If We can Lower your Tax bill and click Continue
- Continue until you get to a page titled These Situations May Lower Your Tax Bill
- Enter the amount of your distribution in the box next to Permanent Disability and click Continue
- Your early withdrawal penalty will be waived.
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