RobertB4444
Expert Alumni

Retirement tax questions

If you entered the amount that was withheld in box 4 then it was applied to your withholding for the year.  Adding the 1099-R to your other income may have increased the amount that you owed to more than the amount that was withheld even though there was extra withholding on the 1099-R.

 

In addition if the code in box 7 of your 1099-R is '1' then there is not just regular income tax assessed on the withdrawal there is an additional 10% penalty for taking it out early.  This may be the number that you are seeing on your tax return.

 

@jrobwebster 

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