Why am I being taxed a 10% penalty for pulling retirement early if it should be excused due to covid 19 qualifications?

Leann-tafolla · Feb 1, 2021 7:17:17 PM

Your site states that if I qualify, that I won’t be taxed the 10% penalty, but I see that I am being taxed even though I qualify...

Hi Coleen. I already entered the 1099-R and actually paid the 10% penalty fee. Im trying to do an amendment and use the 8915-E to get that money back.

Did you already get back into the return to amend? You have to wait until the IRS accepts the return. Once this happens, and you re-enter the return, the procedure should be the same. Go through all the 1099-R steps and then indicate that it is a COVId distribution.