You should have gotten a 1099R and when this reported TurboTax will compute the tax and penalty and it will part of your return.You will also be given credit for any taxes paid in when withdrawn. These would be in box 4 of the 1099R. To enter pension and annuity Payments (1099-R) Click on Federal Taxes (Personal using Home and Business) Click on Wages and Income (Personal Income using Home and Business) Click on I'll choose what I work on (if shown) Scroll down to Retirement Plans and Social Security On IRA, 401(k), Pension Plan Withdrawals (1099-R), click the start or update button

Solved

Where do i pay my retirement penalty? I received an esop share plan check this year and a 10% early withdrawl was imposed.

Forum|Forum|7 years ago
June 6, 2019
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TurboTax Deluxe Online

Best answer by MichaelL1

You should have gotten a 1099R and when this reported TurboTax will compute the tax and penalty and it will part of your return.

You will also be given credit for any taxes paid in when withdrawn. These would be in box 4 of the 1099R.

To enter pension and annuity Payments (1099-R)

Click on Federal Taxes (Personal using Home and Business)
Click on Wages and Income (Personal Income using Home and Business)
Click on I'll choose what I work on (if shown)
Scroll down to Retirement Plans and Social Security
On IRA, 401(k), Pension Plan Withdrawals (1099-R), click the start or update button

MichaelL1Answer

Employee

You should have gotten a 1099R and when this reported TurboTax will compute the tax and penalty and it will part of your return.

You will also be given credit for any taxes paid in when withdrawn. These would be in box 4 of the 1099R.

To enter pension and annuity Payments (1099-R)

Click on Federal Taxes (Personal using Home and Business)
Click on Wages and Income (Personal Income using Home and Business)
Click on I'll choose what I work on (if shown)
Scroll down to Retirement Plans and Social Security
On IRA, 401(k), Pension Plan Withdrawals (1099-R), click the start or update button

S

shatbitsAuthor

Understood but Turbo tax did not compute the early retirement tax in federal or state or am i wrong. My question is upon the state an federal tax already owed is the penalty of early retirement already included or is it on top of what i owe? Also where does the penalty tax go to Federal/State?