Carl
Level 15

Retirement tax questions

You need to contact and talk with the plan administrator. If this is an IRA you opened, then you need to talk to the financial entity you opened it with, so as to ensure the 1099-R that you *will* be issued for the withdrawal, will be coded correctly in box 7.
If coded correctly, you won't pay a penalty, but you will pay taxes on any earnings from that $4000. When you withdraw it, you also need to withdraw the earnings of that $4000. So you'll have to talk with the account administrator about figuring out what that earnings amount will be on the date of withdrawal.