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where do I indicate basis - when Roth IRA originated to show satisfaction of the 5 year rule
The 1099R is using distribution code J - which indicates an early distribution of a ROTH IRA. However I have satisfied the 5-year rule as the ROTH was established in 2012 and I have not withdrawn more than my contributions (before earnings). No tax or penalty should apply. However, Turbo Tax software doesn't have an area to enter this exception language and therefore, is showing this distribution subject to tax and penalty.
4 weeks ago