Hello! I recently removed an excess contribution of $3200 for tax year 2021. Vanguard automatically calculates and removes the earnings associated with this. Additionally, I did have 30% Federal and State tax withheld from the earnings, which was deducted from my distribution back to me.
From reading these messages, because of the additional portion of withholding that complicates things. Is the appropriate path forward to disregard creating a1099-R for tax year 2021 (now), receive a 1099-R at the end of tax year 2022 (since the removal occurred in calendar year 2022), and file and amended 2021?
Thank you!
