I have a 1099-R coded 8J and it's my understanding that this removal of excess should be exempt from the 10% penalty.
After reviewing the form, I'm back at the main "Here's your 1099-R info", I click continue...
No disaster distributions... ok next screen...
"Let's see if we can reduce your early withdrawal penalty"
Wha? I thought TT would be smart enough to realize this was a removal of excess?
It now asks me to "Identify the Plan"
My three options are "Qualified retirement plan", "Nonqualified annuity", and "Modified endowment". Well, according to google a Roth is NOT a "Qualified retirement plan", but it literally said I HAD to pick one, so that's what I picked...
On the next screen "These Situations May Lower Your Tax Bill..." "If you used the money you took out of a retirement account (other than an IRA)...", there is a list of couple dozen reasons like "Death" or "Incorrect Early Distribution", but no option for "Removal of Excess".
Again it feels like maybe I am on the wrong screen because I was FORCED to select "Qualified retirement plan" on the last screen. There is no indication that this is for a ROTH.
The next screen warns me "We Were Unable to Lower Your Tax Bill". Showing what looks like the [2a] taxable amount on the 1099r 8J is getting hit with the 10% penalty.
The next screen "Explain the Return of Contribution", I have a box to "Explain here the details", so I typed in "Remove an Excess Contribution".
I don't think that did it, still saying I owe 10% of the [2a] taxable amount.
Please halp!
