tammie
Level 3
‎03-09-2020 05:36 PM

If the client has large medical expenses and takes an early distribution for which he would normally be penalized, where in the Form 1099-R worksheet do I  indicate that the early distribution was for medical expenses and eliminate the 10% penalty?  Thanks for any help.

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IRonMaN
Level 15
‎03-09-2020 05:45 PM

Check out form 5329

 


Slava Ukraini!
tammie
Level 3
‎03-09-2020 05:58 PM

Thank you

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IRonMaN
Level 15
‎03-09-2020 06:28 PM

You betcha!


Slava Ukraini!
gtissier
Level 1
‎04-03-2020 07:37 PM

enter the amount of excess medical expenses (normally the amount that would be deductible on Schedule A = over 7.5% AGI) on form 5329, the penalty form

cbriell
Level 1
‎05-21-2020 12:34 PM

Once you have filed the 5329 with the medical exemption (05) what happens? If your retirement vendor has withheld the 10% already, how/when do you know if the exemption was approved?

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sjrcpa
Level 15
‎05-21-2020 01:17 PM

Only ask once https://proconnect.intuit.com/community/proseries-discussions/discussion/10-penalty-exception-for-me...

 


Ex-AllStar