In 2021 I switched from an HDHP to Medicare and had an excess contribution to my HSA of $4783. I have not made contributions to an HDHP in 2022 and 2023.
When I filed my 2022 taxes this was handled appropriately on Forms 8889 and 5329 and I paid the additional 6% tax on the $4783.
In the 2023 version of Turbo Tax I am getting and error on Form 8889 because it the program wants me to select an HDHP (Single or Family) even though it knows I did not have one. I also noticed that the that the Line 2 Smart Worksheet is treating the excess contribution carryover as a 2023 contribution and placing it in Line 2.
This leads me to the issue on Form 5329 Part VII. Line 42 correctly shows the excess contributions from line 48 of my 2022 form 5329 as $4783 and calculates the prior year excess contributions on line 46 as $4783. However, the form then shows 2023 excess contributions in line 47 of $4783 even though I had no contributions to and HDHP in 2023. Furthermore it then calculates total excess contributions in line 48 as $9566 (adding lines 46 and 47 together). Since I did not contribute to an HDHP in 2023, I should have no excess contributions for 2023 and my total excess contributions should remain at $4783.
Is anyone fixing these issues?
