@dmertz @DanaB27 @BrittanyS One last question, Do I have to pay 10% additional tax on early distribution (Part I in Form 5329) in 2022? or 2021?
Should I file form 5329 for 2022 to report the Roth IRA regular distribution? Should I file form 8606 in 2022?
When I file using form 5498, Will I be paying the tax for $647 earnings (taxable amount) in 1099 R in 2022? What would be the earnings (taxable amount) in substitute 1099-R? Is it the same $647? or Should I ask the Schwab to calculate the earnings (taxable amount) when they send a corrected 1099-R with just J code?
What will be the additional tax in 2021 Form 5329 as I will be applying 2020 excess contribution to 2021 and took distribution of 2021 excess contribution in 2022? Sorry, I'm slightly confused
I am paying 6% additional tax for the 2020 Roth IRA in 2020 and 2021. It will be the same amount since the excess in both years is same. I'm removing this excess with regular distribution in 2022. Is this the right understanding?
