You were told wrong. You only file the 5329 if you DID NOT timely withdraw the excess plus earnings bu Oct 15, 2020 if you filed an extension. There is no penalty timely removing the excess - just the tax on the earnings.
You should have asked the IRA trustee to make a return of contribution plus earnings so they will issue a 2020 1099-R with a box 7 code "P" that you will receive in January of 2021.
The earnings will be taxable income in 2019 which will require an amended 2019 tax return to enter the 2020 1099-R with the code P.
Only if you have NOT filed your 2019 tax return yet can you enter a "dummy" 2020 1099-R with a code P if you know the exact amounts for box 1( amount returned) and box 2a (taxable earnings) that will be on the 1099-R when you receive it. Doing that would prevent having to amend later. If yiu already filed then there is not advantage to amend now before receiving the 1099-R.
**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.**
