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coachbcn
New Member

I recieved money from 401k to buy home do i claim this in money recieved

Took out loan through 401k to help purchase home. money went towards down payment.
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1 Reply
MargaretL
Expert Alumni

I recieved money from 401k to buy home do i claim this in money recieved

No, you don't have to report 401K loan.  Funds borrowed from your 401K plan are not treated as taxable, as long as you are paying back the loan.  If you default on the loan, then it will be taxable distribution, which you will have to report. 

However, if you took a distribution (not a loan), it must be reported. You would receive form 1099-R for it and must report it as such on your tax return. 

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