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Department of the Treasury

Internal Revenue Service

Instructions for Form 5329

Additional Taxes on Qualified Plans (Including IRAs)

and Other Tax-Favored Accounts

had a tax due from an excess

Section references are to the Internal

Purpose of Form

contribution on line 17, 25, 33, 41, or 49

Revenue Code unless otherwise noted.

Use Form 5329 to report additional

of your 2007 Form 5329.

General Instructions

•

taxes on:

You did not receive the minimum

•

IRAs,

required distribution from your qualified

•

Other qualified retirement plans,

retirement plan.

What’s New

•

Modified endowment contracts,

•

If you rolled over part or all of a

Coverdell ESAs,

Rollovers from qualified retirement

TIP

•

distribution from a qualified

QTPs,

plans to Roth IRAs. Beginning in

•

retirement plan, the part rolled

Archer MSAs, or

2008, you can roll over (convert)

•

over is not subject to the additional tax

HSAs.

amounts from a qualified retirement

on early distributions. See the

plan to a Roth IRA. Generally, the 10%

instructions for Form 1040, lines 15a

Who Must File

tax on early distributions does not apply

and 15b or lines 16a and 16b; Form

to these rollovers. See Rollover on

1040A, lines 11a and 11b or 12a and

You must file Form 5329 if any of the

page 2 for more information.

12b; or Form 1040NR, lines 16a and

following apply, except you do not have

16b or 17a and 17b, for how to report

to file Form 5329 to report a qualified

Economic stimulus payments. If

the rollover.

disaster recovery assistance

your economic stimulus payment was

distribution, a qualified recovery

directly deposited into a tax-favored

When and Where To File

assistance distribution, or the timely

account (such as your individual

withdrawal of an economic stimulus

File Form 5329 with your 2008 Form

retirement arrangement (IRA),

payment that was directly deposited

1040 or Form 1040NR by the due date,

Coverdell education savings account

into your tax-favored account (see

including extensions, of your Form

(ESA), Archer MSA, health savings

Economic stimulus payments on this

1040 or Form 1040NR.

account (HSA), or qualified tuition

page).

•

If you do not have to file a 2008

program (QTP) account), you can

You received an early distribution

income tax return, complete and file

withdraw all or part of the payment. The

from a Roth IRA, the amount on line 23

Form 5329 by itself at the time and

amount withdrawn will not be

of Form 8606, Nondeductible IRAs, is

place you would be required to file

considered as contributed to or

more than zero, and you are required to

Form 1040 or Form 1040NR. Be sure

distributed from the account and is not

enter an amount that is more than zero

to include your address on page 1 and

subject to any additional tax or penalty.

on Form 5329, line 1 (see Exception for

your signature and the date on page 2.

The withdrawal must be made by the

Roth IRA Distributions on page 2).

•

Enclose, but do not attach, a check or

due date (including extensions) for filing

You received an early distribution

money order payable to “United States

your 2008 tax return. For a Coverdell

from a qualified retirement plan (other

Treasury” for any taxes due. Write your

ESA, the withdrawal can be made by

than a Roth IRA) and distribution code

SSN and “2008 Form 5329” on the

the later of the above date or June 1,

1 is not shown in box 7 of Form

check.

2009.

1099-R, Distributions From Pensions,

Prior tax years. If you are filing Form

Annuities, Retirement or Profit-Sharing

Midwestern disaster relief. The

5329 for a prior year, you must use that

Plans, IRAs, Insurance Contracts, etc.

additional tax on early distributions

year’s version of the form. If you do not

Note. You do not have to file Form

does not apply to qualified disaster

have other changes and have not

5329 if distribution code 1 is correctly

recovery assistance distributions. See

previously filed a federal income tax

shown in box 7 of all Forms 1099-R

Form 8930, Qualified Disaster

return for that year, file Form 5329 by

and you owe the additional tax on each

Recovery Assistance Retirement Plan

itself (discussed earlier). If you have

Form 1099-R. Instead, see the

Distributions and Repayments, for more

other changes, file Form 5329 for that

instructions for Form 1040, line 59, or

information.

year with Form 1040X, Amended U.S.

Form 1040NR, line 54, for how to report

Individual Income Tax Return.

the additional 10% tax directly on that

Kansas storms and tornadoes. The

line.

Definitions

additional tax on early distributions

•

does not apply to qualified recovery

You meet an exception to the tax on

Qualified retirement plan. A qualified

assistance distributions. See Pub.

early distributions and distribution code

retirement plan includes:

4492-A, Information for Taxpayers

1 is shown in box 7 of Form 1099-R.

•

A qualified pension, profit-sharing, or

Affected by the May 4, 2007, Kansas

You meet an exception to the tax on

stock bonus plan (including a 401(k)

Storms and Tornadoes, for more

early distributions from the list on page

plan),

3 but box 7 of your Form 1099-R does

information.

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A tax-sheltered annuity contract,

not indicate an exception or the

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A qualified annuity plan, and

Required minimum distributions for

exception does not apply to the entire

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An IRA.

2009. For 2009, you are not required

distribution.

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to take a minimum distribution from

You received taxable distributions

For purposes of the additional tax on

your employer-provided qualified

from Coverdell ESAs or QTPs.

early distributions, an eligible

•

retirement plan or IRA. For more

The contributions for 2008 to your

governmental section 457 deferred

information, see Pub. 575, Pension and

traditional IRAs, Roth IRAs, Coverdell

compensation plan is treated as a

Annuity Income, or Pub. 590, Individual

ESAs, Archer MSAs, or HSAs exceed

qualified retirement plan, but only to the

Retirement Arrangements (IRAs).

your maximum contribution limit, or you

extent that a distribution is attributable

Cat. No. 13330R

Instructions For Form 5329 - Additional Taxes On Qualified Plans (Including Iras) And Other Tax-Favored Accounts - 2008

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