Hello, I'm having trouble finding a clear answer. I've weighed my options and decided to take withdrawal my profit share account from my previous employer. I understand I must pay taxes and penalties for both state and federal. The paper work provided has the option to withhold state taxes only. How do I pay federal taxes and penalties? I'm not sure if they need to be paid in advance. If I wait until I file my taxes at the beginning the year will there be additional fees?