Retirement tax questions

No.  Because your wife made the qualified plan distribution after age 55, there is an Exception to the early distribution 10% penalty.

Click this IRS link Retirement Topics -  Exceptions to Tax on Early Distributions to see all possible exceptions available.  Form 5329 must be completed to claim a penalty exception.

Follow this path to complete Form 5329 in TurboTax:  

Federal Taxes>>Other Tax Situations>>Additional Tax Payments>>Extra Tax on Early Retirement Withdrawals>>Start.

Note:  Public Safety Officers can qualify for the exception at age 50.

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