Yes. You would create a 5329 for each year and either remit payment for that year or carry it forward where it is paid in the current year's tax return.
When you surpass the maximum contribution limits, the IRS penalty equals 6% of your excess contributions. For example, if you have a $100 excess contribution, the IRS penalty would be $6.00.
This penalty applies to each tax year the excess contribution remains in your account. This means you will incur the 6 percent excise tax every year until you remove it from the account or apply it to a future year.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
