Hi @DanaB27
First thank you for all your support your giving!!!
I'm hoping you can help me. I read all your posts but I'm still not sure.
I put 6,000 in a traditional IRA in 2021. I just found out I have no earned income so it is in excess. My bank is in the process of withdrawing the contribution and earnings and it will hopefully happen before the 18. I have not filed yet. I dont think they will generate a 1099-R for me that quickly but they will tell me the earnings and probably other things if I know to ask them after they put it though in a couple of days.
Its my understanding that since I am not claiming a deduction and that I am withdrawing the contribution and earnings, that I only need to pay tax on the earnings as gross income (which I might not even have any earnings or they are like 100$ at most). Im 40 years old if that matters.
How do I put the earnings in as gross income? Through a dummy 1099-R. Is that the best option. Please explain for my situation in simple detail.
Also in "deductions and credits", since I will have already withdrawn the contribution and I'm not getting a deduction do I put that I contributed to a 2021 Traditional IRA, 6,000$? I feel like not, but I'm not sure.
I'm also unsure do I fill out a form 5329 or do I just do a mock 1099-R.
I would love to get it all over and done with, please give me in simplest most straight forward terms direction. Ive been floundering for ages trying to figure it out and am afraid to make a mistake.
Also is it an option to not fill out anything as far as IRA, as long as my bank withdraws it and then wait on the 1099-R ill get nest tax year, I'm not so concerned about the 100 earnings being hit with 10 or 6 percent or losing it all as long as, it doesn't upset the IRS and my withdrawn contribution isint getting hit with any penalties.
THANK YOU SO MUCH!!!
