Thank you so much @DanaB27 for the quick response! Just to be clear, the attachment with the explanation of the recharacterization would still get added to the tax forms even when we go back and remove the recharacterization amount, right?
Another question is that should 1040, 4a reflect the recharacterization amount from the recharacterization in December (for which we have received the 1099-R with code N)? After following the steps, the penalty screen went away. However, the item (1040, 4a) is blank on the tax form, so wanted to double check this. Also, I am only able to view the 1040 at this time (not the attachment) as I haven't completed all the steps in federal filing.
