Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

TAXPAYER RECEIVED A DISTRIBUTION OF $78,000-HARDSHIP DISTRIBUTION

mb70
Level 1

TAXPAYER RECEIVED $78,000 FOR A HARDSHIP DISTRIBUTION.

AN EARLY DISTRIBUTION.

THEY TOOK OUT $7,800 FOR FEDERAL WITHHOLDING TAXES

WHEN PREPARING THE RETURN PRO SERIES DID NOT POST THE 

10% PENALTY.

WHY?

 

Labels (1)
0 Cheers
3 Comments 3
Just-Lisa-Now-
Level 15
Level 15

How old are they?  Whats the code in Box 7 of the 1099R?


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
George4Tacks
Level 15

@mb70 wrote:

TAXPAYER RECEIVED $78,000 FOR A HARDSHIP DISTRIBUTION.

AN EARLY DISTRIBUTION.

THEY TOOK OUT $7,800 FOR FEDERAL WITHHOLDING TAXES

WHEN PREPARING THE RETURN PRO SERIES I DID NOT POST THE 

10% PENALTY.

WHY? - Because you did not understand all of the input for the return. 

Stay tuned and someone will give you really good hints. 


 


Here's wishing you many Happy Returns
Terry53029
Level 12
Level 12

It probably is subject to the 10% penalty, but you need to answer @Just-Lisa-Now-  questions. Here is a link for you to research:

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-hardship-distributi...