Have a Tax Question? Ask a Tax Expert
In general - yes - because you are below 59 1/2.
However - there are some exemptions you might be eligible to use.Specifically,
section 72(t)(2)(A)(v) allows such exemption for the employee who separates from service during or after the year the employee reaches age 55 (age 50 for public safety employees of a state, or political subdivision of a state, in a governmental defined benefit plan).
Let me know if you need any help with reporting.
I appreciate if you take a moment to rate the answer.Experts are ONLY credited when answers are rated positively.If you still have any doubts, need clarification - please be sure to ask.I am here to help you with all tax related issues.