What form do I use to input the information for a first time buyer that withdrew money from their IRA? I see form 8606 I entered info but it did not calculate.

Jonsee · ‎02-12-2021

The taxpayer withdrew money from their IRA to buy a house, when I enter all of the w-2, pension info I get the total income which makes the taxpayer have to pay back taxes so how do I inter the info for the first time buyer so they want have to pay taxes on the IRA?

sjrcpa · ‎02-12-2021

First time homebuyer rule, if applicable, only gets you out of the 10% penalty not the income tax.

Might COVID related distribution apply?

The more I know the more I don’t know.