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October 12, 2020
Question

I took IRA distribution to offset education expenses for my son. It is reportable but not taxable

  • October 12, 2020
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1 reply

DoninGA
Employee
October 12, 2020

The distribution from the IRA is taxable but if used for educational expenses the distribution is not liable for the 10% early distribution penalty.

 

Go to IRS Publication 590-B, Distributions from Individual Retirement Arrangements (IRAs) page 23 (Higher education expenses) - https://www.irs.gov/pub/irs-pdf/p590b.pdf#page=23