Thanks. I followed the steps you provided. The turbotax says that I should withdraw the full $7100. But my HSA provider says that I cannot withdraw more than 5550 (since 1550 was already distributed to me in 2020).
They also mentioned that they get several calls from their customers (who also use Turbotax) with similar question.
I too feel that Turbotax is showing incorrect information.
How can I withdraw $7100 when I have only $5550 left (7100-1550) in my HSA?
I feel that I should be withdrawing only $5550 from HSA. But report 7100 as excess contribution and pay taxes on them.
Please clarify.
Thanks
K
