@jackFF wrote:
so what if I do NOT report it this year (per DaveF1006 post on 4/6/20) - even through I had the excess distributed before April 15?, and next year use the 1099R that will be issued - will I have to pay a penalty? Again, I had ~6K that was distributed and TT calculations make me pay and extra 2.9K in taxes or ~50% of the 6K which seems completely out of wack and disproportionate...
See my last post. If not reported now, then when the code P 1099-R comes in 2021, you will have to amend 2019 to report it. A 2020 1099-R with a code P can only be reported in a 2019 tax return. You can avoid the hassle of amending by just adding the returned excess to the 2019 1040 line 1 as explained above. That does EXACTLY the same thing that a 2020 code P 1099-R would do on an amended return.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
