THANK YOU so much for your kind help!
To summarize for 2020, that was her first Roth IRA contribution($1250) for life. Now we pulled it all out on 3/4/22. To file her 2020 return, she only needs to file 1040 with no income (no interest), no deduction on it, form 5329 with a $75 penalty, and we will mail a check. That will be all for tax year 2020.
I really appreciate you attempting to help us not paying $75 for 2021. Your approach is so fancy, and I don't know if I truly understand it after several times of reading over your message. Our goal is just to wrap this up as simply as possible and put it behind us.
FYI, this is the Vanguard info about the Roth account balance:
12/31/20, balance $1278 (contributed $1250 on 12/11/20)
12/31/21, balance $8236 (contributed $6000 on 7/8/21)
What should we do?
