You can wait until you get the 1099 for the distribution (in 2022) to amend your 2020 return, or you can do the entry now so you won't have to amend your 2020 return.
If you choose to make the entry now, you can do so but you will need to know what the income your earned on the investment was while it was in the IRA in 2020. To report the earnings on the contribution, you should enter a Substitute form 1099-R and enter it on your 2020 return. You will see an option for this when you see the screen Tell us Which 1099-R You Have.
Enter in box 1 the excess distribution amount . In box 2 enter the earnings. Enter code "8" and "J" in box 7.
When you take a distribution from an IRA, the income is ordinary income even if it came from the sale of capital assets, so you will enter all of the income in box 2 on your substitute 1099-R entry.
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