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Deductions & credits
@BillM223 was right about that -4000 entry fixing the problem because of the bottom line but there is no way for that entry to be made and not generate an 8889. And an 8889 can't be negative. So that entry fixed the issue but created another one.
The government has put you in a pickle.
The negative 4000 entry still needs to be made but not in the additional HSA contributions where you have it. Go back and clear that entry.
Now, this next part is going to be weird. Change your W2. Change the W amount from 8000 to 4000 OR even better, if you have another box 12 input section available, put a second W in there and put a negative 4000 in.
This will change the HSA deduction on your W2 to what it should be ($4000) and you have already changed your income by adding that $4000 through the miscellaneous income entry. This gets all of your numbers to the correct place that they should be for 2022.
The downside is that the IRS doesn't know that. So save all the records related to this. Save all the proof that you pulled the money, save any emails that are related to this (print them) save all of the bank records showing the deposits and withdrawals.
Probably nothing comes of this. You're doing all of this correctly, after all. But possibly you get a letter from the IRS asking questions about this. At which point you write them a letter of explanation and copies of everything in your file folder. You're prepared.
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