Thanks. Appreciate your patience & the feedback. The reference is helpful in my understanding. It may not make any difference but in the case, you referenced, it is subtle different from mine.
1. I have a carryover contribution from 2022 which I need to pay 6% penalty. The problem with that is if I try to use turbo tax, it doesn't allow me to allocate eligible contributions to my wife's roth IRA. I removed the 2022 contributions assigning all eligible contributions to my wife's IRA and removing mine. TT is not letting me do this switch for 2022 or 2023. As you also suggested, I have decided to do 2022 amendment manually, so I can assign correct distribution. However, for 2023 amendment, using TT to avail of e-file before Oct 15, 2024 may not be available to me, as it will again assign wrong contributions to mine and my wife's Roth IRA. So, I may be stuck with filing 2023 manually as well.
Unless I can find a way to assign correct contributions/removals with TT for 2023 I have no choice but do 2023 amendment manually where I have to figure out which forms to submit and how to properly fill them. Thats where my struggle is. Following is where I stand with respect to 2023 amendment (and missing pieces) :
1. Do two 5329s, one for myself and other for wife to pay penalties on 2022 carryover excess (and to reflect any 10% penalty on 2023 contribution earnings (won't be needed if this penalty is not there - but I can't seem to find the reference) removal. Not sure if Schedule 2 is needed for it this time for 2023 amendment.
2. Not sure if Two 5329s for 2023 excess contribution removal for self and wife are needed (since these contributions were considered removed intime before oct 15, 2023). Schedule 2 (??)
3. On 1040 distributions are indicated in 4a but I don't know where on 1040X these distributions (of excess contribution removal) will be recorded.
4. For earnings, based on the case you referenced, I need to add up all earnings on 2023 contributions (for me and my wife) and add it to my AGI (1b) on 1040X (correct??)
5. Add fed withholding for earnings removed to line 12 B on 1040X and provide explanation in part III.
6. From what I read in the case you referenced, I don't need to generate 1099 R's to attach to 1040X and keep them for records when I receive them from my broker in 2025.
7. Since I am doing this manually, do I need to write at the top "pursuant to......" notation you indicated earlier?
8. I can't think of any other information/forms I have to provide to complete 2023 amended taxes now
Thanks for your input and help!
#fanfare
