Let's start with 2021. I feel there is some confusion over 2022 (which is easier to fix) and 2021.
On your 2021 return, you would be asked if you had a qualifying HDHP, whether it was self or family coverage, and for what months of 2021 you had coverage. Your payroll contributions would be captured from your W-2, and you also had the opportunity to report if you made separate, out of pocket contributions. If you had HSA contributions, but you accidentally indicated you did not have qualifying HDHP insurance, Turbotax would tell you that you had excess contributions that you needed to remove from the HSA, and if you failed to remove them, you would be assessed a penalty.
So we need to look at your 2021 tax return. You should have a form 8889 for the HSA. Line 9 will be the payroll contributions (your voluntary payroll contributions are counted together with any employer match). Line 3 is your eligibility for 2021. If line 9 is more than line 3, then you made excess contributions and you would be subject to a penalty. That penalty is calculated on form 5329 in section 7, starting at line 42.
So, questions:
1. How many months of 2021 were you enrolled in HSA-eligible HDHP insurance?
2. What is on line 3 of form 8889?
3. What is on line 9 of form 8889?
4. Do you have a form 5329 and if so, what is the penalty on line 49?
Once we understand 2021, we can move on to 2022.
