dmertz
Level 15

Retirement tax questions

Nothing other than the 6% excess-contribution penalty gets added to your 2016 tax return.

The code J 2018 Form 1099-R gets reported on your 2018 tax return (2018 Form 5329 Part IV line 20 and 2018 Form 8606 Part III line 19).  2018 TurboTax will do this automatically when you enter the Form 1099-R and indicate that "you cashed it out).  If you made no Roth IRA contributions for any year prior to 2016, the taxable amount calculated on 2018 Form 8606 Part III [not Part IV as I orignally typed] will be the difference between the amount in box 1 and the amount of your 2016 excess contribution.  This difference will also be subject to the 10% early-distribution penalty on 2018 Form 5329 Part 1.