If I took a distribution from my 401K with the 20% withheld, then deposited the 80% in a traditional IRA within 60 days, do I pay a penalty and / or tax?

loririchardson-l · ‎March 22, 2020

AlanT222 · ‎March 22, 2020

Yes, you will pay tax and penalty on any amount that was not rolled over, even if the amount was the 20% withheld for taxes.

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AlanT222 · ‎March 22, 2020

Yes, you will pay tax and penalty on any amount that was not rolled over, even if the amount was the 20% withheld for taxes.

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