- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Get your taxes done using TurboTax
@vannatte1 , reporting more than the actual contributions on your 2020 Form 8889 might have resulted in your tax return including Form 5329 to calculate and report an excess contribution that would have added a penalty to your 2020 tax return. If that happened, you'll want to amend your 2020 tax return to get the penalty refunded. If your 2020 tax return did not include Form 5329, the inflated amount on Form 8889 probably does not cause any problems (other than the fact the the Form 5498-SA from the HSA will report a lower number that what was shown on your Form 8889, which the IRS may or may not question). [Actually, the 2020 tax return must be amended to make the correction. See my follow-up reply below.]
Nothing about this affects your 2021 tax return except, perhaps, a carryforward of an excess contribution reported on your 2020 tax return. If present, this carryforward of the excess contribution will need to be corrected in 2021 TurboTax.