401K withdrawals from Canada

M

metaman

Registered Users (C)
Anyone withdrew money from 401K after moving to Canada? If so what were your tax implications? Did you have to pay a state tax too if you had to filr fed ?
Thanks
 
I have 401K

I live in Canada now permanently and need money. I need to return to the US and apply for Bankruptcy since my Advanced Parole is valid. But for sure I need to take some money from 401K account without paying taxes.

How could one avoid taxes when withdrawing 401K money? Especially when that person is in a tough financial difficulty (bankruptcy).

Thanks
 
Any withdrawal from your 401K plan before the age of 59 1/2 will automatically invoke a 10% withdrawal penalty and a 20% Federal Withholding towards Tax. Depending on how much you withdraw, you will have to pay tax depending on the Income slab that you fall under. You cannot avoid taxes on withdrawal, whatever the reason for the withdrawal. But I think you can avoid the penalty in certain cases as defined below:

http://www.money-talk.org/401k/401k-early-withdrawals.shtml

Found one more informative site:

http://www.401kfocus.com/401k_questions.html
 
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