- 1). Gather your records from each Roth IRA. Your financial institution that you have your accounts at should send you a form 1099-R if you withdrew money from your account during the year.
- 2). Determine whether your withdrawal was made before you turned 59 1/2. If you withdrew the money early, you will have to fill out From 5329, even if your withdrawal meets the requirements for a qualified early withdrawal. If the distributions were taken after you reached age 59 1/2, skip to Step 4.
- 3). Complete Form 5329 to determine if you owe a penalty on your withdrawal. If any of your early withdrawal is not qualified, you will have to pay a 10 percent penalty on the unqualified distribution.
- 4). Write the amount of your withdrawal on Line 15a of your Form 1040 tax return as part of your total IRA distributions. The total amount of your withdrawal appears in Box 1 of form 1099-R. You do not have to include them on Line 15b as taxable distributions.
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