How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Lane Your Own Question
Lane
Lane, JD, CFP, MBA, CRPS
Category: Tax
Satisfied Customers: 12030
Experience:  Law Degree, specialization in Tax Law and Corporate Law, CFP and MBA, Providing Financial & Tax advice since 1986
1929974
Type Your Tax Question Here...
Lane is online now
A new question is answered every 9 seconds

My 401k was taxed $11,905.14 withdrawal of funds on a 2010

Customer Question

my 401k was taxed $11,905.14 for early withdrawal of funds on a 2010 1099-R. I was was awarded full disability on July 9, 2009. How can I get the refund since I was disabled and should not have been taxed
Regards, Mark
Submitted: 1 year ago.
Category: Tax
Expert:  Lane replied 1 year ago.

Hi Mark,

...

Normally, you would simply file an amended return for that year (1040-X)

...

I'm so sorry to have to be the essenger here, but there is a statute of limitations on filing for a refund.

...

Taxpayers have until the later of three years from the date of the original deadline of the tax return or two years from the date the tax was actually paid to claim a refund of overpaid taxes from the IRS.

..

For example, your 2013 tax return is due on April 15th, 2014. Add three years to this filing deadline, and you have until April 15th, 2017, to file your 2013 tax return and still get a tax refund. If you file your 2013 return after April 15th, 2017, then your refund expires. It goes away forever because the statute of limitations for claiming a refund has closed.

...

You can read monre about that here: http://taxes.about.com/od/backtaxes/qt/statute_limits.htm

...

(one of the biggest IRS gotcha's out there - when this happens, they call it an excess collection)

...

Hopefully it will help to know that, since you were never taxed on those dollars (the monty goin into the 401(k) on a pre-tax basis) it would only have been the additional 10% that would be waived in the event of disability. the distribution itself is always taxed.

...

Please let me know if you have any questions at all

...

Lane

..

Expert:  Lane replied 1 year ago.

Hi,

….

I'm just checking back in to see how things are going.

….

Did my answer help?

….

Let me know…

….

Lane

...