JotikaT2
Employee Tax Expert

Get your taxes done using TurboTax

That is correct.  You will receive a 1099-R form in 2026 for the excess contribution that was returned to you in 2025.  

 

As for the penalty, when you prepare your 2024 amended return, TurboTax will make this calculation for you and you will avoid the penalty on your 2025 return.

 

Please see this FAQ for more details on when you would pay the penalty based upon your specific situation.

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