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kdeduct
New Member

If we use part of a 1099-R IRA as a down payment for an RV - second home, can we deduct this amount somewhere?

This has to do with Wells Fargo account. We used $5000.00 as the down payment. Is there any way to not pay income taxes for that amount?
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RichardG
New Member

If we use part of a 1099-R IRA as a down payment for an RV - second home, can we deduct this amount somewhere?

Unfortunately, no.  Generally speaking, distributions from a traditional IRA are taxable income.  If you withdrew the money prior to age 59 1/2, there will also be a 10% penalty for the early distribution.  The exception to this penalty for first-time homebuyers will not apply in your situation.

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RichardG
New Member

If we use part of a 1099-R IRA as a down payment for an RV - second home, can we deduct this amount somewhere?

Unfortunately, no.  Generally speaking, distributions from a traditional IRA are taxable income.  If you withdrew the money prior to age 59 1/2, there will also be a 10% penalty for the early distribution.  The exception to this penalty for first-time homebuyers will not apply in your situation.

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