The Motley Fool Discussion Boards
Investing/Strategies / Retirement Investing
|Subject: New SEPP Rules for 2004 Federal Tax Return||Date: 1/5/2005 6:16 PM|
|Author: intercst||Number: 43892 of 76891|
If you are under age 59-1/2 and taking penalty-free withdrawals from your IRA here's some "news you can use."
For the 2004 tax year, the IRS did away with "exception code 2" on Form 1099-R. The only code you'll see on Form 1099-R is exception code 1. See link:
You'll have to file IRS Form 5329 with your return to claim the exception for "substantially equal periodic payments" (SEPP) and escape the 10% penalty. Here's a link to form 5329 and instructions.
Instructions for Form 5329.
|Copyright 1996-2015 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|