Investors & landlords

To confirm, you made an excess contribution for 2022 but didn't have any excess in prior years? You withdrew this 2022 excess contribution in 2022 and received Form 1099- R with codes 8 and J?

If you didn't have any prior year excess then you will enter the $7,000 Roth contribution for 2022 for you and your spouse, don't enter anything on the "Enter Excess Contributions" screen and enter the contribution amount withdrawn on the penalty screen (TurboTax should ask for each of you: $7,000 for you and $7,000 for your wife if you requested the full contribution, ignore the losses here).

1. Click on "Search" on the top right and type “IRA contributions” 
2. Click on “Jump to IRA contributions"
3. Select “Roth IRA” for you and your spouse
4. Answer ‘Yes” on the “Roth IRA Contribution” screen
5. Answer “No” to “Is This a Repayment of a Retirement Distribution (your questions)
6. Enter the Roth contribution amount for you
7. Continue through the question
8. Answer “No” to “Is This a Repayment of a Retirement Distribution (spouse's questions)
9. Enter the Roth contribution amount for your spouse
10. Continue through the question
11. You will get a warning about the excess contribution for you and the penalty screen for you (enter the contribution amount removed $7,000)
12. You will get a warning  about the excess contribution for your wife and the penalty screen for your wife (enter the contribution amount removed $7,000)

If you removed the excess contribution for 2022 before the due date of the 2022 return then you will not have to pay the 6% penalty.

Please make sure you select who the Form 1099-R belongs to when entering it into TurboTax. 

[Edited 3/28/2023 | 12:22 pm PST]

@SteveKoz