A qualified disaster distribution is when you withdraw funds from a retirement plan (including IRA owners) to cover losses incurred while living in certain federally declared disaster areas in 2016 and 2017.
"A qualified disaster distribution is an amount up to $100,000 taken by a participant whose main home was in the federally declared disaster area and the distribution was made for:
- Harvey, after August 22, 2017, and before January 1, 2019;
- Irma, after September 3, 2017, and before January 1, 2019;
- Maria, after September 15, 2017, and before January 1, 2019;
- The 2016 disasters, in either 2016 or 2017; and
- California wildfires, after October 7, 2017, and before January 1, 2019."
- Ref: IRS Disaster Relief Bill Includes Retirement Plan Distribution and Loan Options