My bracket is 22%. If I take an early distribution on my IRA of $12,000 I will pay an additional $3,884 in taxes. $2,884 in Income Taxes and $1,200 penalty. This additional Income tax was not withheld on my paycheck. I would technically have to send the IRS the money. Would I be able to offset this bill with the EV credit, or the credit can only be offset by withheld money? Thanks for your help. I just want clarify.
