401K Loan for a house purchase

[KSR1]

We took money out of our 401K to cover ourselves until we sold our first home.  We forgot to pay it back off before 12/31/2021 but we did pay off the whole thing and had some interest.  We did pay a huge chunk of federal tax when we took it out.   

I am finding it difficult to navigate the reporting of this?  any ideas

[xmasbaby0]

Sorry but it is all taxable.  There is no exception to the early withdrawal penalty when you take money out of a 401k to purchase a house.   With a traditional IRA you can waive the early withdrawal penalty on $10,000 that you take out to purchase a house.  That is not true for taking money from a 401k.   You have to report the distribution as shown on your 1099R.   The taxable amount will be shown on line 5b of your Form 1040.

[Cynthiad66]

You should have received a form 1099R for the withdrawal of funds from the 401k.  Use the form 1099-R to repost the income.  

You'll get a 1099-R if you received $10 or more from a retirement plan. You can add up to 20 1099-Rs in TurboTax.

Here's how to enter your 1099-R:

1. Open (continue) your return, if you don't already have it open
2. Locate the Search bar by the magnifying glass icon. Search for 1099-R and select the Jump to link in the search results
3. Answer Yes on the Did you get a 1099-R? screen
   • If you land on the Review your 1099-R info screen instead, select Add Another 1099-R
4. Answer any questions until you get to the screen Let's import your tax info. Here you can choose how you want to enter your 1099-R:
   • If your financial institution is a TurboTax 1099 partner, you can import your form. Select your institution from the list and enter your sign-in credentials, then select Get my form to start the import process
   • If you prefer to upload your 1099-R or type in the info yourself, select Change how I enter my form. On the next screen, select your preferred entry method
5. Continue answering the questions to enter or review the info from your 1099-R

Generally, anyone can make an early withdrawal from 401(k) plans at any time and for any reason. However, these distributions typically count as taxable income. If you're under the age of 59½, you typically have to pay a 10% penalty on the amount withdrawn.

[KSR1]

It is not an early withdrawal, we were 63 and it was a loan we paid back.  so if we claim in for 2020; do we get to claim the returned money in 2021?

[VolvoGirl]

When did you take it out?  You only have 60 days to replace it.  If it was a real loan and not a distribution you do not get a 1099R for loans and there is nothing to report.  Did you get a 1099R for it?