Re:tax withholding for withdrawalo from IRA account.

[hirok2]

I am 67 year-old American living in Japan. I withdrawed $5000 from my IRA account when I was 66 in 2016. I did not file tax-return for 2016 and $500 was withheld by Fed. Is there any way to release this $500 taxwithheld money by  late filing. I currently live in Japan where everything is expensive. That's why I had to withdraw from IRA to make ends meet here. I would be grateful if you could give me any advice. Thank you!

PS. Can I still file tax-return for 2016?  Can I file both 2016 and 2017 together?  Is there any chance I can get the $500 withheld money back?  Thank you for you attention!

[DoninGA · Accepted solution]

You can file a tax return for a tax refund at any time on or before 3 years from the due date of the tax return.  For tax year 2016 you can file for a tax refund on or before April 15, 2020.  For a withdrawal from an IRA you should have received a Form 1099-R from the plan administrator showing the amount withdrawn and the federal income taxes withheld.  You need to report the tax data from that form 1099-R on the 2016 tax return.

Income received in one tax year can only be reported on a tax return for that tax year, not on a future year tax return.

Using TurboTax you would have to purchase and download one of the 2016 desktop editions from this website - https://turbotax.intuit.com/personal-taxes/past-years-products/

A 2016 tax return can only be printed and mailed, it cannot be e-filed.

Or you can get free forms, schedules and instructions from the IRS website - https://apps.irs.gov/app/picklist/list/priorFormPublication.html