Based on your information and since you did not deduct the $1,800 on your tax return for 2021, there is no income to report. And if you remove it before April 15th, you will not have any penalty. There would be nothing to add back to you income in your scenario.
As indicated by our awesome Tax Expert @DanaB27, you will likely have no earnings since your account lost money so there is no interest (earnings on the contribution) to report. You must have the brokerage firm calculate the loss and calculate the correct distribution amount.
With a market fluctuation taking place today it's quite normal to see a drop in value in a retirement account.
@mrtk31
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