Lost job and took out retirement money can i get a tax break?
Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
rolindo
New Member

Lost job and took out retirement money can i get a tax break?

 
4 Replies
VolvoGirl
Level 15

Lost job and took out retirement money can i get a tax break?

If you are over 55 you can avoid the 10% Early Withdrawal Penalty on it.  But otherwise, no.
rolindo
New Member

Lost job and took out retirement money can i get a tax break?

Yes, I'm over 55. What document would I have to five to qualify for the exemption?
VolvoGirl
Level 15

Lost job and took out retirement money can i get a tax break?

Just fill out your return.  It knows your age.  Turbo Tax will ask you if you have any exceptions to the penalty.  You don’t need any else for it.
SweetieJean
Level 15

Lost job and took out retirement money can i get a tax break?

In most cases, you will owe Federal and State taxes. You will also owe a 10% Federal penalty, unless you meet one of the exceptions listed here:

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-tax-on-early-distri...

Also note that Unemployment benefits are taxable for Federal, as well as in some states.

Dynamic AdsDynamic Ads
v
Privacy Settings