Covid 10% early retirement withdrawal penalty completely waived?

Question

Is the 10% penalty waived only if the IRA is repaid within 3 years? I don’t intend to repay the account and will use the money for real estate. I know I will have to pay income tax on what is withdrawn, but will I have to pay the 10% penalty as well or is it completely waived?

Basit Siddiqi · Answer

@Bob SmithNo, the 10% penalty is not waived for only those who choose the loan/payback option.

Covid 10% early retirement withdrawal penalty completely waived?

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