dmertz
Level 15

Retirement tax questions

>  it says "good news, you dont owe anything for tax"

No, that's not what it says.  Presumably because your Form 1099-R has code 2 in box 7, TurboTax says that you don't owe any "extra" tax, the extra tax being a 10% early distribution penalty.  You still owe ordinary income tax on the distribution.

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