Hi the 10% penalty can be waived very easily with Proseries. They updated that a long time ago. Just go to Form 5329 scroll down a little bit, look for letter L, enter the amount of the distribution and you will see that the program will place code 12 on Line 2. Code 12 means a Coronavirus related distribution and the program will waive the 10 percent penalty. Make sure you look for heading "Distributions not subject to additional tax " or something like that. You will notice when you input the amount of the distribution, PS will put 12 on Line 2, and waives the penalty. I have done many times. Thank you