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I took out money from 401k to pay my 2015 tax bill...can i claim that amount
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I took out money from 401k to pay my 2015 tax bill...can i claim that amount
You cannot claim tax bill as a deduction, unfortunately. The IRS does not allow it as a deduction, nor does it allow it as an exception to an additional tax penalty if you took your 401K early. And, unfortunately, you must claim money taken out from 401K as income.
You should receive Form 401K for your distribution, please follow steps below for data entry:
- Federal Taxes
- Wages and Income
- Scroll down to Retirement Plans and Social Security
- Select IRA, 401(k), Pension Plans (1099-R)
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I took out money from 401k to pay my 2015 tax bill...can i claim that amount
You cannot claim tax bill as a deduction, unfortunately. The IRS does not allow it as a deduction, nor does it allow it as an exception to an additional tax penalty if you took your 401K early. And, unfortunately, you must claim money taken out from 401K as income.
You should receive Form 401K for your distribution, please follow steps below for data entry:
- Federal Taxes
- Wages and Income
- Scroll down to Retirement Plans and Social Security
- Select IRA, 401(k), Pension Plans (1099-R)