In 2023 I mistakenly though that I had exceeded my Roth contribution limit when converting my non-deductible TIRA to a Roth (I know now that no such limit exists). I executed a removal of excess contributions for both my and my wife's accounts. The amounts distributed were small...$7.14 and 9.01, respectively with taxable gains $0.60 and $1.43, respectively.
Knowing that I owed taxes on the gains, I added $3.00 as "other income" on Schedule 1 with the explanation that it was for earnings on the "excess contribution", which is wrong. I should have worded it to say it was for earnings on the early distribution. I received 2 1099-Rs for the distribution dated 2024 with the codes J and P.
Federal taxes on the gains were withheld on the 1099s so the $3 I paid I think should cover any penalties.
Now that I have the 1099-Rs, do I need to amend my 2023 return documenting that taxes were paid and include a note that the P code was a mistake and that there was no excess contribution but only an early distribution?
