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Reducing Estimated Tax Penalties with IRA Distributions
Nerd's Eye View 
Nov. 4, 2020 "[R]etirement account distributions are often made only once per year, which effectively creates a 'pay-as-you-go' loophole for taxpayers whose income consists of retirement account distributions! Because of this, advisors whose clients rely on retirement account distributions for income can help maximize savings by withholding taxes later in the year, thereby letting clients keep their money longer (and letting those funds grow in the meantime) without risk of incurring Estimated Tax Penalties." |
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