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Level 1
posted Feb 22, 2022 12:28:33 PM

403B Cares Act withdrawal and repayment over three years

I took out $20,000 from my 403B in 2020 to assist with Covid expenses. Last year I had the option of repaying the taxes back over 3 years. Last year, I thought the first payment came off of my tax return, but now I am questioning if I was to pay that back through the estimated quarterly taxes. So, now I should be having my second payment, but do not see that it was factored into my taxes. I want to make sure I am getting this paid back, so there are no surprises next year. Does anyone have any thoughts or information to assist? Thank you. 

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1 Best answer
Expert Alumni
Feb 22, 2022 12:40:50 PM

You will report the second taxable portion of your 2020 coronavirus distribution in the Retirement section under Wages and Income of TurboTax.

 

However, this section will only be available around March 31, 2022 and you'll need to revisit this section later.

 

Please see this TurboTax Help topic on IRS forms availability dates.

3 Replies
Expert Alumni
Feb 22, 2022 12:40:50 PM

You will report the second taxable portion of your 2020 coronavirus distribution in the Retirement section under Wages and Income of TurboTax.

 

However, this section will only be available around March 31, 2022 and you'll need to revisit this section later.

 

Please see this TurboTax Help topic on IRS forms availability dates.

Level 1
Apr 2, 2022 1:24:23 PM

I do not see that this has been updated yet, Is that correct?

Expert Alumni
Apr 3, 2022 4:13:49 AM

Yes, it has been updated.

 

Steps to enter the repayment.

 

  1. Login to  TurboTax 
  2. Click on the Search box on the top and type “1099-R”
  3. Click on “Jump to 1099-R”
  4. If you do not have any 2021 1099-R answer "No" to "Did you get a 1099-R in 2021?"
  5. Answer "Yes" to the "Have you ever taken a disaster distribution before 2021?" screen.

You will be guided through the screens.