Did the CP2000 forget to include my retirement transfer?

General
21

@Grey
About that retirement account transfer…

What did you actually do? ‘Transfer’ isn’t really clear. Did you withdraw money, rollover an account, or do a Roth conversion?

22

Arlo said:
@Grey
About that retirement account transfer…

What did you actually do? ‘Transfer’ isn’t really clear. Did you withdraw money, rollover an account, or do a Roth conversion?

I withdrew money from my retirement account.

23

@Grey
And what did you do with it?

24

Marlow said:
@Grey
And what did you do with it?

I used it.

25

Grey said:

Marlow said:
@Grey
And what did you do with it?

I used it.

Then it’s taxable. If you’re under 59.5 and didn’t use it for a specific purpose, you’ll owe an extra 10%. If your state has income tax, they’ll probably reach out to you too. Also, interest is accruing at what I believe is 8% a year.

26

@Grey
And this was a traditional (not Roth) account?

27

Draft an amended return to see if it lines up with the IRS notice. Then you’ll know whether to agree to the notice or file an amended return.