RAUL1208
New Member

Retirement tax questions

Thanks for the reply but I'm still confused. My only income for 2018 was from an early IRA distribution (before age 59 1/2). I had a professional job but I had to leave in 2017 to take care of my elderly parents who both have chronic health conditions and can't really take care of themselves (in case anyone is wondering).

Apparently I did not withhold enough in 2018 and thus owed for taxes. However, in January 2019 I requested excess withholding (let's say 35% of distributed proceeds as an example) to cover both the 2018 distribution taxes and the January 2019 distribution taxes and 10% penalty. However, my brokerage statement shows the 2019 withholding only for 2019 with nothing showing for 2018. So did I mess up in not withholding in the 2018 calendar year because the 2019 excess withholding I did in January 2019 cannot be applied to 2018 tax year? I wanted my January 2019 excess withholding applied to cover 2018 taxes due and I was going to request another excess withholding IRA distribution next week to cover taxes for the 2019 tax year.