vshah
Level 1
04-01-2021
09:20 PM
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One of my clients received corona virus related distributions from his 401k during 2020.
The 10% additional tax on early distributions does not apply to any coronavirus-related distribution.
while preparing the tax return using ProSeries, I have checked box 2020 Coronavirus-related distrubution on Qualified Disaster Distribution Smart worksheet under Form 1099-R worksheet but the program still calculates 10% penalty.
Can someone please advise if certain other box/es are required to be checked or anything else I am missing?
Thanks in advance
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qbteachmt
Level 15
04-02-2021
11:04 AM
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How much did they take? Did you work on the Form 8606? What sort of account is this? Do they have basis in any similar account or that one? More details would be helpful.
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