My employer took out too much in my 401k plan. They went $535.02 over. They said I would have to submit a 1099R this year.
The 1099R has arrived. I see tax was taken from this amount.
In Box 7 of my 1099R I have a distribution code of 8. I am younger than 59 years old.
Am I subject to a 10% penalty or a 30% penalty for early withdraw from my 401k plan even thought this was my employer's mistake?
Is Code 8 in Box 7 subject to any penalty (1099R).
Thanks,
