It depends. If it is a contribution you made directly, if you withdraw the excess contribution and any earnings by the due date of your return (April 15th for most) you can treat it is if the excess contribution was never made. You will report the earnings as Other Income on your 2024 tax return.
If it was an employer contribution reported on Form W-2 your Form 8889 will reflect a contribution of $3,000, and you will enter a removal of excess contribution of $1,000 which will be reported as Other Income on your 2023 return since it was excluded from income. Any earnings must be reported as Other Income on your 2024 return.
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