[{"data":1,"prerenderedAt":7},["ShallowReactive",2],{"faq-standard-7178":3},{"rec_id":4,"title":5,"text":6},"7178","What is an early withdrawal penalty?","An early withdrawal penalty is interest or principal that was forfeited because of an early withdrawal of funds from a time-based savings account. \n\u003Cbr>\u003Cbr>\nFor example, if you withdraw a certificate of deposit (CD) early, you may have to pay a penalty or forfeit interest you would have received. \n\u003Cbr>\u003Cbr>\nThe IRS allows you to deduct this amount on \u003Ci>Schedule 1\u003C/i> as an adjustment to income, which will lower your AGI and the taxes you'll have to pay. We'll automatically deduct this amount for you on your return.",1777391479945]