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March 31, 2021
Question

I took monies out of my 401k to cover expenses due to a flood. how do i cover this in my taxes? turbo tax says its not ready for this exception.

  • March 31, 2021
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1 reply

March 31, 2021

I don't think that is one of the allowed exceptions to a penalty for early withdrawal of pension plan funds, but you can review this IRS article that addresses the issue:

 

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-tax-on-early-distributions

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