Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Jun 4, 2019 1:04:37 PM

What is the percent of taxes withheld on an early 401k withdrawal for Indiana?

0 1 9164
1 Replies
New Member
Jun 4, 2019 1:04:39 PM

Indiana does not charge an early withdrawal penalty on distributions taken from a retirement account before the age of 59 1/2.

In most counties, you are safe if you have 5% withheld for state tax (based on a county tax rate of 1.5% or less).  However, there are some counties that have a higher county tax rates.  A complete list of Indiana county tax rates can be found at  https://www.in.gov/dor/files/dn01.pdf

Note:  Effective January 1, 2017, the state tax rate in Indiana drops from 3.3% to 3.23%