Yes, all you need to do is to you report the excess with the steps mentioned above. You don't have to report anything on your 2025 return since you didn't have any earnings.
"You must include the excess deferral in your income for the year of the deferral." (IRS)
"Any income on the excess deferral taken out is taxable in the tax year in which you take it out." (IRS)
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