Hi @dmertz @DavidS127
Merging the 2 posts so I can have your both's expert opinions. Can you please help me reconcile what to do here for the 2014-2018 excess roth contributions, as regards accounting for any past earnings?
1) Here is the parallel thread where @DavidS127 responded:
https://ttlc.intuit.com/community/retirement/discussion/re-excess-roth-ira-contribution/01/1672416#M...
He is suggesting I need to account for earnings from past roth contributions from 2014-2018 and adjust for them in my past tax amendments - meaning show earnings from contributions made in those years as extra income in those years, pay taxes on them for that year and also 10% early withdrawal fine on earnings for that year, in addition to filing for 6% penalties for those years
2) What @dmertz is saying is the opposite: "It's a mistake to remove the earnings under these circumstances. There is no requirement to do so when you have been assessed the 6% excess contribution penalties. Your regular distribution to resolve this excess in 2020 and beyond should only be for the amount of the excess contributions, $5,900. Because you will only be removing the $5,900 originally contributed, it will all be from contribution basis and therefore will be nontaxable"
