Retirement tax questions

When you take out a distribution from an IRA, the tax withheld is an estimated amount.  You say you took an early distribution, which means there is also a 10% penalty.  In January, you will get a 1099R for the money you took out of your IRA.

When that money is added to your other income, TurboTax will calculate whether any additional tax is owed, or if you get a refund based on any other tax withheld from wages, etc.

 Go to  Federal> Wages and Income>Retirement Plans and Social Security>IRA  401 k) Pension Plan Withdrawals to enter your 1099R.


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