I withdrew from my 401k last year but used the funds to expand my business what form do I need to report to the IRS? Is it a 1099-R?

jrshiki3 · ‎January 25, 2023

It was used for business purposes, can that be shown as well?

xmasbaby0 · ‎January 25, 2023

You will get a 1099R for the money you took out of your 401k and you need to enter it on your tax return:

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.**

dmertz · ‎January 25, 2023

Using the money for your business is not relevant to the tax treatment of the distribution.

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I withdrew from my 401k last year but used the funds to expand my business what form do I need to report to the IRS? Is it a 1099-R?