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pgutierrez63
New Member

WHY DO I GET TAXED TWICE ON LINE 59-ADDITIONAL TAX ON IRAS. iT FIRST TAXES IT AS INCOME THEN AS AN ADDITIONAL IRA?

WHY DO I GET TAXED TWICE FOR THE IRA, FIRST AS INCOME , THEN AS ADDITIONAL TAX ON IRA

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Hal_Al
Level 15

WHY DO I GET TAXED TWICE ON LINE 59-ADDITIONAL TAX ON IRAS. iT FIRST TAXES IT AS INCOME THEN AS AN ADDITIONAL IRA?

Although line 59 uses the words "additional tax"; it is actually the 10% penalty for taxing money out of your IRA before you reached age 59-1/2. The penalty is in addition to the normal income tax.

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Hal_Al
Level 15

WHY DO I GET TAXED TWICE ON LINE 59-ADDITIONAL TAX ON IRAS. iT FIRST TAXES IT AS INCOME THEN AS AN ADDITIONAL IRA?

Although line 59 uses the words "additional tax"; it is actually the 10% penalty for taxing money out of your IRA before you reached age 59-1/2. The penalty is in addition to the normal income tax.

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