Early withdrawl Roth IRA??? If I only take what I CONTRIBUTED?

I though I was NOT supposed to be taxed on an early withdrawl from an ROTH IRA if I only took out what I had CONTRIBUTED? I received a form 1099-r from the investment company with it marked as income? I'm in PA and it is marked as a "distribution code J" which is "early distribution, no known exception under age 59 1/2". Is there a SPECIAL form you use during tax preparation that DOESN"T state this as actual income? This was $ that was already taxed. thanks

edit: the 1099 form has NOTHING in the taxable amount box(2a), but it does have box (2b) checked, which is "taxable amount not determined".?

A 1099R is standard on any withdrawal from an IRA or a 401K... Roth or Traditional. This doesn't mean that its taxable.

There is a 5 year rule on a Roth IRA. You can take out your contributions after 5 years, penalty free. This is contributions only, no appreciation.

You will get a 1099R which you must input on your 1040, but there should be a box to check it as non taxable of form 8606. On the front page of your 1040, line 15A would have the total distribtuion... and 15B should show ZERO.

The money that went into your IRA should not have been taxed as income. You will usually have an automatic 20% withholding for income taxes on the money distributed to you. If you took the money out at 59 1/2 in payments it would count as income, but if you took the lump sum, you would be in a higher tax bracket resulting in higher taxes. What you are trying to do now is take it out in a lump, increasing your income for the year. There is also a fee for early distribution, because IRA and retirement plans in general are for retirement and those fees are there to encourage people to save and not spend the money now.