Tax Guy: Dear Tax Guy: Can I deduct the early-withdrawal penalty if I switch to a higher rate CD? Posted on December 22, 2022 By Charlielikes Certificates of deposit are having a moment. Here’s what to know about the tax consequences if you cash out early. Stock Market Tags:‘a, ‘i, ‘to, can, cd, dear, deduct, early-withdrawal, guy, higher, if, market, penalty, rate, stock, stock market, switch, tax’, the