I took a 401K withdrawal in the amount of $100,000 in 2020. The code on the 1099-R is a 1. I was told that I do not have to pay the penalty on it and that I can pay the tax over 3 years. What do I need to do to do that?
You'll need to sign in or create an account to connect with an expert.
Enter the 1099-R and answer yes that it was a COVID related distribution and answer the rest of the questions.
Enter the Form 1099-R that you received. Then answer the follow-up questions and indicate the distribution was due to Covid-19. If you are eligible the program will remove the 10% early distribution penalty and offer you the option to either have the distribution entered in its entirety on the 2020 federal tax return or to have the distribution split into 1/3 over three years.
Enter 1099-r in the Search box located in the upper right of the program screen. Click on Jump to 1099-R
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
ronequettetax
New Member
jj_56
New Member
SprnklmeTT
New Member
inmanlanier1
Returning Member
txmet
Level 4
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.