So the 1099-R that you would get in 2020, is the way that you would indicate that the excess amount in 2018 had been withdrawn? When starting this years return it automatically says there is an owed amount based off the 6% fee. Even when putting the 1099-R in, that amount is still mentioned as owed.
On the 1099-R, it only has the code J which I am guessing is since it was pulled after the tax filing deadline? It doesn't have the P - so does that mean the full amount that got pulled ends up being taxed as income?
This seems like a really big penalty and more than just the 6% on the original excessive contribution amount per year. Am I missing something?
