wethepeople
Level 3
03-28-2022
04:01 PM
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The penalty was eliminated in 2021 by attaching Form 5329.with a code 05.
I would think that if the client didn't qualify for the coronavirus relief in 2020 they might qualify by filing Form 5329 if, for example, they meet the Medical exception. Of course they wouldn't be able to spread the distribution over three (3) years.