jeanmarc
Level 4
04-08-2025
11:41 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
The taxpayer wants to claim the penalty from their early IRA withdrawal as a business expense because they used the full amount to start a business. I’m pretty sure the answer is "no, you still have to pay the taxes and penalty," and you report your regular business expenses separately on Schedule C. But I just wanted to double-check, since they’re insisting it’s possible.
Labels