Vivid_Fox617 OP t1_j6mthkx wrote on January 31, 2023 at 1:23 PM

Reply to comment by nolesrule in Mortgage vs withdrawal with income tax hit for home purchase by Vivid_Fox617

Net investment income tax doesn’t apply here I don’t think? Withdrawals from an inherited 401k are 1099R income

nolesrule t1_j6mtx41 wrote on January 31, 2023 at 1:27 PM

Not directly, but it applies to interest (including bank interest), dividends and and capital gains, so adding additional ordinary income can push any investment income into NIIT.

Vivid_Fox617 OP t1_j6muvu2 wrote on January 31, 2023 at 1:35 PM

I see ok gotcha