On your 2022 tax return you can check if you do not have a Form 5329 with Part IV which calculates the 6% penalty for Roth IRA excess contributions. If you have a penalty calculated on Form 5329 Part IV then this would indicate that you didn't enter the contribution as removed on the penalty screen during the IRA contribution interview.
Or you can check the IRA contribution worksheet if you entered a Roth IRA contribution on line 19. Any withdrawals before the due date would be on line 25.
The 2023 Form 1099-R with code P and J needs to be reported on your 2022 return. You only need to enter it on your 2023 tax return if you had taxes withheld. Only the earnings in box 2a will be taxable and listed on line 4b of the 2022 Form 1040. You can check your 2022 Form 1040 line 4 if you had created a Form 1099-R for the return of excess contribution plus earnings.
If you did not create a Form 1099-R when you filed your 2022 tax return then you will have to amend your 2022 tax return:
- Click on the "Search" on the top right and type “1099-R”
- Click on “Jump to 1099-R”
- Answer "Yes" to "Did you get a 1099-R in 2023?"
- Enter the Form 1099-R and click "Continue"
- On the "Which year on Form 1099-R" screen say that this is a 2023 Form 1099-R.
- Click "Continue" after all 1099-R are entered and answer all the questions.
- Continue until "Did you use your IRA to pay for any of these expenses?" screen and enter the amount of earnings under "Corrective Distributions made on or after December 31, 2022"
Please be aware, code P will say in the drop-down menu "Return of contribution taxable in 2022" but you can ignore that since the follow-up question will tell TurboTax that it will be taxable in 2023.
No, installing TurboTax 2022 should not affect your 2022 file. You should have the 2022 tax file saved separately on your computer.
@ljsister2024
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
