@Ichinco wrote:
Can you update us on what you did? I kind of have the same issue, contributed to my 2020 Roth but MAGI was way to high to put any money in it. Not sure what to do and there is not information out about this issue.
The above comments are referring to a *2019* excess contribution. Your situation is about a *2020* excess which is different.
You have until April 15 to remove the excess plus earnings. Ask the IRA trustee to do a "return of contributions" distribution plus earnings. You should receive a 2021 1099-R next year to report it. Only the earnings (if any) will be taxable. Do not just remove the excess with a normal distribution or the 1099-R will have the wrong codes.
If you file a timely extension to file before April 15, then you will have until Oct 15, to remove the excess.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
