Paul L. Caron

Wednesday, June 17, 2020

Ryznar: Emergency Funds In The Wake Of The Coronavirus

Margaret Ryznar (Indiana-McKinney), Emergency Funds in the Wake of the Coronavirus, 96 State Tax Notes 65 (Apr. 6, 2020):

The CARES Act targeting the economic effects of the COVID-19 pandemic allows taxpayers to withdraw up to $100,000 from their retirement savings, such as section 401(k) plans, without the typical 10% penalty for early withdrawal. However, retirement accounts do not make for ideal emergency funds. This Article therefore advocates that future legislation should incentivize separate savings funds.

For complete TaxProf Blog coverage of the coronavirus, see here.

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