death and taxes

[caramelqueen]

my mother is dying of cancer and unfortunately has no life insurance. i am going to have to take out my withdraw my retirement funds (from a previous job) in order to cover funeral expenses. i know i am going to get a big penalty but, is there anyway to write this off on my taxes next year? i really don't have another alternative and i don't have a lot of time! we live in kentucky.

 

[loku]

Funeral expenses

I am afraid I have no good news for you.

1. You are correct about the penalty (10% if you are under the age of 59-1/2).
2. There is no deduction allowed for funeral expenses.
Funeral expenses are not considered support for the purpose of determining the dependency exemption.