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Question

On a 1099-R form what does a code number 2 mean in box number 7?

Forum|Forum|7 years ago
June 7, 2019
1 reply
31 views

No text available

TurboTax Free Edition Online

Level 13

Code 2 in Box 7 of a 1099-R means that it is an early withdrawal, but there is a known exception to the penalty for early withdrawal. Turbotax will recognize that and not charge you the 10% early withdrawal penalty. You will have to pay ordinary income tax on the withdrawal.