DanaB27
Expert Alumni

Get your taxes done using TurboTax

You are correct you will owe a 6% tax for 2019 since you did not remove the excess contribution made for 2019 by the due date of your 2019 tax return. You will also owe a penalty for 2020 since you did not remove the excess by December 31, 2020.

 

Since you are withdrawing the excess contribution for 2019 after the due date of the 2019 return you can request a regular distribution from your Roth IRA (if you made contributions to both traditional and Roth, then the excess contribution is deemed to have happened in the Roth).

 

You only have to withdraw the earnings as well if you withdraw the contribution before or on  the due date to avoid the 6% penalty. (Publication 590-A page 42)

 

Please see this discussion from use dmertz for additional information.

 

 

 

@Spanky

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