Thanks @dmertz.
I have more questions:
1). If we ask the bank (Health Equity) to see if we can withdraw $1104 (I contributed $50 less than the maximum in 2022, so $1154 was reduced to $1104) knowing that we will pay a 20% penalty, will we get another 1099-SA (for 2023) before the IRS tax deadline to represent that amount taken out?
2). Will this approach clean up the over-contribution and stop the year-over-year penalties?
3). How do we fill out TurboTax (online version) form 5329 to show that we pulled out the $1104 and will pay the 20% penalty?
4). Right now if we go through the prompts, form 8889 is also generated, but we did not have an HDHP in 2023. How do we JUST fill in form 5329 above?
Appreciate your help!
