I pulled money out of my pention in 2020 because of lack of work. I thought that if it was a "Coronavirus-Related Distribution" there would not be the 10% penality?? On my 1099-R in box 7, they marked #1 which is a early distribution and it shows a 10% penality. I don't see a option for covid relief. Please advise.
Form 8915 -E is not yet finalized by the IRS.
At this point and time the Form 8915-E (Qualified 2020 Disaster Retirement
Plan Distributions and Repayments (Use for Coronavirus-Related Distributions)) is not finalized. We currently do not have an estimated date when the form is ready.
Please sign-up here and we will email you once the form is live.
This is an early release draft of an IRS tax form, instructions, or publication, which the IRS is providing for your information. Do not file draft forms and do not rely on draft forms, instructions, and publications for filing. We do not release draft forms until we believe we have incorporated all changes.
Will Turbo Tax have a update when this form is available? And should I wait assuming that this will be available before the tax deadline?
I saw a checkbox for taking a distribution related to covid hardship. It was a screen or two past the 1099-R submission / confirmation
To avoid the penalty and take advantage of the tax benefit for having to take an early withdrawal from retirement, you must wait for the form to be ready. The forms are projected to be available by 2/24/2021.
Use this link to sign up for notification when the form becomes available.