Do I need to amend if my excess ROTH contributions were a loss?

[Kira76]

Hi,

I filed my 2020 return in Feb. I did not report any ROTH contributions as I contributed for the 2020 tax year after filing.

An excess ROTH contribution was discovered in May after filing and removed at a small attributable loss.

Do I still need to amend my 2020 return? My 2020 5498 form shows the amount INCLUDING the excess. 

Thanks

[DanaB27]

If you had entered the Roth IRA contribution in TurboTax and didn't enter that you withdrew the excess contribution by the due date, then you will have the 6% penalty on your return. You  removed the excess in time therefore you do not owe the 6% penalty and want to amend your return to remove it.  Please see How to amend a tax return for instructions.

Only the earnings from an excess contribution have to be included in your taxable income.

[Kira76]

Thanks.

I didn't enter the ROTH on my taxes at all. 

My 2020 5498 shows the entire contribution including the excess. I am concerned this will cause a problem with the IRS if I don't amend.

[DanaB27]

No, it will not create issues.