Ok so the insurer messed up with the codes and I highly doubt they will correct it.
So I will include on my 2020 1099-R so the amount of $3666 will be added to the Wage/Salary line 1 of the 1040.
Now since I included it in my wages on my 2020 tax return, I don't have to amend the 2019 to add the $2933 to the wages again correct? I only have to amend 2019 to include the nondeductible contribution of the $2933 which is from 1099-R that issued to me in 2020 difference of $3666 gross amount - 733 federal withholding), because Edward Jones shows the IRA contribution was made in 2019 when I look back at my activity.
Now for my 2020 401K excess contribution. They issued me the money earlier this year in 2021 for $4500 and I put that in my IRA as well the same one I opened with the $2933. Since the contribution was made in 2020 and yes I am over the income limit and have a 401K with work, I would add the $4500 nondeductible contribution to my 2020 Form 8606 correct? And next year when they send the 1099-R with the code 8 which I am assuming, I will add that to my 2021 income under wages correct?
If am wrong with what I wrote above, what would your suggestion be... Again, I will not hold you accountible for anything. I would like to see how someone would handle this if it was them. Again just curious.
This is now becoming frustrating, but I am very grateful for all your assitance.
With your expertise how important are these Form 8606? Do people really files these form. From my understanding you have too because you can penalized. Just curious.
