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jdeish2
New Member

I took an early distribution on my Roth this year, but I paid the 10% penalty at time of distribution. 30% total. It's still adding in the additional 10%. Please advise

 
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DDollar
Expert Alumni

I took an early distribution on my Roth this year, but I paid the 10% penalty at time of distribution. 30% total. It's still adding in the additional 10%. Please advise

That is correct.  The program will calculate and show the 10% penalty and add that amount to your total tax for the year.  The same 10% will be reflected in tax paid on your 1099-R as well as your tax return once it has been entered.  So, it is calculating it, adding, and then subtracting it from your tax due/refund.

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1 Reply
DDollar
Expert Alumni

I took an early distribution on my Roth this year, but I paid the 10% penalty at time of distribution. 30% total. It's still adding in the additional 10%. Please advise

That is correct.  The program will calculate and show the 10% penalty and add that amount to your total tax for the year.  The same 10% will be reflected in tax paid on your 1099-R as well as your tax return once it has been entered.  So, it is calculating it, adding, and then subtracting it from your tax due/refund.

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