Level 3

Question

Penalty on early withdrawal of savings is being calculated on regular interest income, Why?

Forum|Forum|4 years ago
March 5, 2022
19 replies
29 views

I used interest income worksheet and entered Capital One Interest income. Penalty on early withdrawal of savings is showing up on Schedule 1 and flowing to 1040.

ProSeries Professional

This topic has been closed for replies.

qbteachmt

Level 15

Capital One is a provider.

What sort of Account was this?

Don't yell at us; we're volunteers

sjrcpa

Level 15

It's an allowable subtraction. Check the instructions.

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

Just-Lisa-Now-

Intuit Community Champion

where did you want it to appear?

Box 2 of a 1099INT lands on Line 19 of Schedule 1

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

S

sharolAuthor

Level 3

The penalty is showing up on Schedule 1 line18. Which then flows to Adjustments to income line 10 on the 1040.

S

sharolAuthor

Level 3

It is regular bank interest income. There should be no penalty calculated.

Just-Lisa-Now-

Intuit Community Champion

Did you enter an amount in Box 2 of the 1099INT form on Sch B? That usually means they cashed out a CD early and had to pay a penalty.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

S

sharolAuthor

Level 3

Interest income is in Box 1. There is no entry in box 2.

G

george7814

Level 2

Enter on 11. Interest. fORM 1099-INT. "other" .

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