I am taking an "early withdrawl" from my SEP IRA. I know I will get 10% penalty off the top. But, at the end of the year when I have to pay my taxes on that as income, is it any higher than if i had earned it at my job? For instance, last year I made $70,000, this year I will only make $50,000 and I want to pull $20,000 out of my IRA to make up for the difference. Will my taxes be the same as last year and based on $70,000 of income?