Tax Consequences

Tax implications for deferrals

• Your deferrals are not subject to federal or state taxes at the time of deferral, and you pay no income taxes on your deferrals (on any earnings), until they are distributed to you. 
• Social Security and Medicare taxes will be withheld on amounts you defer.
• The taxable wages shown on the Form W-2 you receive from Juniper at the end of each year will be reduced by the amount of the deferrals you made during the calendar year.

Tax implications for distributions

• Any distributions (including distributions for an unforeseeable emergency), will be subject to mandatory federal and state taxes.Note that you may have to pay taxes to the state you lived in while you made your deferrals. You may want to consult a tax advisor to fully understand your tax situation and tax obligations.
• At the end of the calendar year in which you receive a distribution, you will receive an IRS Form W-2 from Fidelity Investments showing the amount of your distribution and taxes withheld. You will need to report the distributions as "wages" income on your tax return.