$27.95 
Learn more
Submitted By: someone
Answered: May 3, 2021 11:01 pm
Answered: May 3, 2021 11:01 pm
I was not working in 2020 and took money from my retirement plan to live on. Do I have to pay taxes on this money?
Yes. However, if the distribution from a qualified retirement plan or IRA is a “coronavirus-related distribution,” then no 10% penalty applies for anyone under age 59½. What’s more, a coronavirus-related distribution may be redeposited in the same or other retirement account within three years, allowing for a recovery of taxes paid on the distribution.
advertisement
Featured Books
Tax Glossary
Capital expenses
Costs that are not currently deductible and that are added to the basis of property. A capital expense generally increases the value of property. When added to depreciable property, the cost is deductible over the life of the asset.
