topic Non qualified annuity withdrawal in Get your taxes done using TurboTax

Non qualified annuity withdrawal

arenaant6819 — Sun, 02 Feb 2025 18:33:14 GMT

Out 100000 into non qualified annuity needed to take withdrawal of 63000 too put on condo down-payment now already paid tax on this monet when I put in.

1099r came box 1 gross 63000

Box 2a blank

Box 2b tax not determined check

Box 5 63000

Box 7 distribution codes D and 1

I only made 40000 on my job last year I was receiving a 1600 refund

But when I plugged in 1099 it's telling me now I owe 17500 fed 5690 state how can this be that alot of taxes am I doing something wrong thanks

Re: Non qualified annuity withdrawal

AmyC — Sat, 08 Feb 2025 22:56:58 GMT

You have an early distribution - code 1 - of a possibly taxable annuity - code D on a 1099-R which shows you have a basis of $63,000 in box 5 and tax not determined.

You must answer all the questions after you enter the form.

PSO - no
Describe taxable amount - select different amount
Select General rule The general rule and the simplified method
For taxable amount -enter the taxable portion of the $63,000 you took out of the $100,000 in your account using the general rule.