Are there any exceptions for making premature distributions without incurring an excise tax?
A penalty tax of an amount equal to 10% of the taxable portion of your IRA distribution (or deemed distribution) is imposed if your distribution is made before you attain the age of 59 unless it is made for any of the following reasons: • on account of your death; • after you become disabled; • as a direct transfer by the trustee of interest to a spouse or former spouse by the trustee in your IRA pursuant to a court order of divorce, separation or division of property; • as a part of a scheduled series of substantially equal payments made at least annually until the later of 5years or your attaining the age of 59 calculated using the life expectancy of you alone or jointly with your beneficiary; • transferred as a rollover contribution to another IRA, to a Roth IRA or if your IRA consists solely of rollover contributions from an employer-sponsored Retirement Plan, to another employer-sponsored Retirement Plan; • used to pay medical expenses in excess of 7.5% of your Adjusted Gross Inco
