DanaB27
Expert Alumni

Retirement tax questions

No, a P code on a 1099-R 2021 received in spring 2022 belongs on the 2020 tax return.

 

If you had taken the excess contribution plus earnings out in 2020 then you would have gotten a 1099-R 2020 in spring 2021 with codes J and 8 and it would go on your 2020 tax return

 

 

The IRS states:

 

"How to treat withdrawn interest or other income.

 

You must include in your gross income the interest or other income that was earned on the excess contribution. Report it on your return for the year in which the excess contribution was made."

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