Question

Form 8915-E

Forum|Forum|5 years ago
March 1, 2021
1 reply
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Why is Form 8915 asking me how I want to be taxed on my Covid 19 retirement withdrawl?? I had Federal and State taxes taken out of it at the time I withdrew it.

TurboTax Home & Biz Windows

DaveF1006

It is asking you this because you have an option to defer 1/3 of your withdrawal for three consecutive years for taxation purposes because of the pandemic. if you choose this option, only 1/3 of your income will be taxed, next year will be taxed at 1/3, and then 1/3 in the third year.

If you wish to have the entire amount taxed this year, you don't need to choose the option to defer your taxable amounts for the next three years.

[Edited 03-01-2021|03:54 PM PST]

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