dmertz
Level 15

Retirement tax questions

No.  Other reason does not apply.  If TurboTax indicates that the distribution is subject to an early-distribution penalty, the distribution is not a distribution of ESOP dividends which TurboTax already knows would be penalty-free because they would be reported with code U in box 7 of the Form 1099-R.

 

The only exceptions that might apply are the other exceptions in the list that @DawnC provided.