TurboTax

File with experts
File your taxes
Experts at your fingertips

An expert helps with your taxes, or does them for you
TurboTax Expert Full Service

TurboTax Expert Assist

TurboTax Self-Employed
Prior year taxes
File myself
File myself
Do it yourself

We'll guide you step-by-step
TurboTax Do It Yourself

TurboTax Self-Employed

TurboTax Desktop
TurboTax Free

Activate your product

Prior year taxes
Business
Business
Business taxes

Get your T2 corporate return done right, your way
TurboTax Business

TurboTax Business Desktop
Tax situations
Tax situations
Tax situations

Find extra guidance for your big life moves
For investors

For 25 and younger

For self-employed

For new to Canada

For life changes
Resources
Resources
Resources

Explore tax tools, get tips, and read reviews
Personal income tax calculator

RRSP savings calculator

Learning hub

TurboTax support (FAQ)

TurboTax community
Pricing

Level 13

Question

Can I claim early ira withdrawal used for Permanent Disability since I used the funds to pay my living expenses until I was officially granted SSA Disability in April ‘17

Forum|Forum|7 years ago
June 6, 2019
1 reply
2 views

No text available

TurboTax Deluxe Online

Level 15

The ten percent (10%) penalty for early withdrawal from your IRA can be eliminated for total and permanent disability of the participant/IRA owner. Even though you didn't receive the social security disability officially until 2017, you can use that as your reason for taking the money early. The IRA will still be taxable, but the penalty can be eliminated.

IRS-Retirement Exceptions to Tax on Early Distribution

When you enter the Form 1099R watch for the questions about the exceptions for your IRA. Click the image attached to enlarge and view for assistance.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"