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I took an early 401K withdrawal and paid tax before distribution. Turbotax is not accounting for my prepay. How can this be fixed? Should I enter it manually?

 
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2 Replies

I took an early 401K withdrawal and paid tax before distribution. Turbotax is not accounting for my prepay. How can this be fixed? Should I enter it manually?

The tax that was withheld from your distribution should be on your 1099R.   Was it an early withdrawal?  If you were under 59 1/2 there is a 10% early withdrawal penalty.  Enter your 1099R just as it appears.

 

To enter your retirement income, Go to  Federal> Wages and Income>Retirement Plans and Social Security>IRA  401 k) Pension Plan Withdrawals to enter your 1099R.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

I took an early 401K withdrawal and paid tax before distribution. Turbotax is not accounting for my prepay. How can this be fixed? Should I enter it manually?

Did you get the 1099R?  The tax withholding should be in box 4.  Is it there?  You enter it when you enter the 1099R.  The withholding will show up on your 1040 line 25b.

 

Did you enter the 1099R?  In the right spot?  Or did you import it?

Enter a 1099R under
Federal Taxes on left
Wages & Income
Then scroll way down to Retirement Plans and Social Security
Then IRA, 401(k), Pension Plan Withdrawals (1099-R) – Click Start


Don't type the bank name or try to import it.
At the bottom pick - Change How I enter my Form
Then on the next screen pick - I'll Type it in Myself


Be sure to pick the right kind of 1099R on the 4 boxes. 1099R or CSA1099R or CSF1099R or RRB1099R
If you are filing a Joint return be sure to pick which person it is for.

 

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