Hello,
>
> Subject says it all I guess. I elected a cash distibution
> from the 401k this week. The cashout amount is ~$18,000. My
> capital losses from stock this year total at ~$19,000. I
> have been out of the country most of the year and so have no
> taxable income for this year.
>
> Am I correct in assuming that the capital gains losses will
> offset any tax penalties from the 401k cashout? I'm guessing
> that I will still have to pay the 10% early withdrawal
> penalty regardless, but will that be it?
>
> Anyone know?
>
> Thanks!
>
> Dave
>
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