Get your taxes done using TurboTax

Yes, you can apply the 2020 excess contribution to 2022 on your 2022 tax return. But you will have to pay the 6% penalty for 2020 and 2021. The earnings will just stay in the account.

To trigger the penalty for 2021 on Form 5329:

1. Click on "Search" on the top right and type “IRA contributions”
2. Click on “Jump to IRA contributions"
3. Select “Roth IRA”
4. On the "Do you have any Excess Roth Contributions" answer "Yes"
5. On the "Enter Excess Contributions" screen enter the total excess contribution from 2020 (if it wasn't carried over).

Please follow these steps on your 2022 return to apply the excess to 2022:

1. Click on "Search" on the top right and type “IRA contributions”
2. Click on “Jump to IRA contributions"
3. Select “Roth IRA”
4. On the "Do you have any Excess Roth Contributions" answer "Yes"
5. On the "Enter Excess Contributions" screen enter the total excess contribution from 2020 (if it wasn't carried over).
6. On the "How Much Excess to 2021?" screen enter how much you want to apply to 2022.

@Kellystaxes