dmertz
Level 15

Retirement tax questions

You should file a corrected 2019 Form 5329 along with Form 1040-X primarily to correct the $12 of excess that otherwise carries forward to line 18 your 2020 Form 5329.  With this amendment you can also claim a refund of the $1 penalty paid unnecessarily.  (On the Form 1040-X you can choose to credit the $1 refund toward your 2020 tax liability).