Note: If any part of the Roth distribution comprised of your own prior Roth contributions then that portion is already both tax and penalty free so do not include it in the lifetime $10,000 first time home buyers exemption. Only include any amount that exceeded your contributions. After the 1099-R summary screen you will be asked to enter your prior year Roth contributions not previously withdrawn. There is no need to exhaust the lifetime limit if it was not used to offset earnings only.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
