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I would like to purchase my first home and I would like to…

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I would like to...

I would like to purchase my first home and I would like to use my traditional IRA for the down payment. Can I use over $10000.00 for the down payment and balance of closing it would be around $17000.00 in total

Accountant's Assistant: The Accountant will know how to help. Is there anything else the Accountant should be aware of?

Just that I wanted to use some of my ira to help with closing cost as the down payment is for $12,212.00.

Submitted: 4 months ago.Category: Tax
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3/16/2018
Tax Professional: Robin D., Senior Tax Advisor 4 replied 4 months ago
Robin D.
Robin D., Senior Tax Advisor 4
Category: Tax
Satisfied Customers: 18,221
Experience: 15years with H & R Block. Divisional leader, Instructor
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Hello, I'm Robin. Welcome to JustAnswer. I'm reviewing your question now and typing up my reply. I'll post that in just a few moments.

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Tax Professional: Robin D., Senior Tax Advisor 4 replied 4 months ago

Yes you can use as much as you like of your IRA. You can only avoid a penalty for the distribution on the $10,000. Any amount over $10000 would still be penalized (10%) if you are under 59 1/2. You will pay tax on the full distribution.

Please let me know if you need more information.
If not then please scroll up to see the STARS to rate so I am credited.

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Tax Professional: Robin D., Senior Tax Advisor 4 replied 4 months ago

The system advised you responded but I do not see any posts. If you did respond could you post that again please.

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