I over-contributed to my 401K plan for tax year 2022 but caught the issue early in 2023. My plan administrator has said that the 1099R will be issued for tax year 2023, not 2022. Since I notified my plan admin early enough, I can either include the excess deferral in my 2022 return right now as income or amend my 2022 return once I receive the 1099R months after 4/18/23.
If I choose to amend, would the excess deferral be taxed again as income for tax year 2023?
Had I notified my plan admin of the excess deferral after 4/18/23, that amount would be taxed in both years, but with the quick discovery of the issue, I want to be sure of any pitfalls of the amendment option.
