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Film54
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1099R Box 7 Code J includes 1st time home buyer exception according to the IRS, but after entering dollar amount in the field "Roth IRA Funds Used to Buy Home", the field goes blank and TT is calculating early withdrawal penalty instead. Please help.

1099R Box 7 Code J includes 1st time home buyer exception according to the IRS, but after entering dollar amount in the field "Roth IRA Funds Used to Buy Home", the field goes blank and TT is calculating early withdrawal penalty instead. Please help.

 

Why isn't the field allowing me to enter my dollar amount up to the allowed $10,000?  The problem exist in both the step-by-step and on the form itself.  Will not allow input.

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1099R Box 7 Code J includes 1st time home buyer exception according to the IRS, but after entering dollar amount in the field "Roth IRA Funds Used to Buy Home", the field goes blank and TT is calculating early withdrawal penalty instead. Please help.

You need to continue the interview after the 1099-R summary screen and enter your prior years Roth contributions that were not previously withdrawn.

 

Withdrawing your own contributions are not taxable at all so don't include them for the exclusion.  Then enter up to $10,000 in the exception screen.

 

For example: if your total distribution was $15,000 and your own prior contribution were $9,000 then you would apply $6,000 as the first time home buyers.

 

The first question does not seem to do anything but enter it this way:

(Assuming you owned any Roth for 5 years.)

 

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**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
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