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Get your taxes done using TurboTax
Yes, because the earnings (in box 2a) on the excess contribution are taxable in 2019. You will have to amend your 2019 tax return and include the 1099-R on your 2019 return.
"To avoid the 6% tax on excess contributions, you must withdraw:
- the excess contributions from your IRA by the due date of your individual income tax return (including extensions); and
- any income earned on the excess contribution."(IRS)
"You must include in your gross income the interest or other income that was earned on the excess contribution. Report it on your return for the year in which the excess contribution was made." (IRS)
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‎February 20, 2021
10:45 AM