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March 27, 2022
Question

Where and how do I enter a 401K penality withdrawal waiver for Financial Hardship

  • March 27, 2022
  • 1 reply
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Where and how do I enter the early withdrawal penality waiver amount using Turbo Tax Deluxe?  Is it in the 1099R drop down menu section titled: These Situations May Lower Your Tax Bill under "other reasons"?

    1 reply

    DoninGA
    Employee
    March 27, 2022

    Financial hardship is not an exception from the 10% early distribution penalty.

    Go to this IRS website for the exceptions from the penalty when the withdrawal is from an account that is not an IRA - https://www.irs.gov/taxtopics/tc558