I am over 60. I made a $7k Roth contribution May 2021 for year 2020 before filing that year. Then this year, 2022 discovered my MAGI was too high. Also made Roth contribution early April 2022 for year 2021 of $5717 and again MAGI to high. Now have both as excess contributions and need to pull them out.
I think i can do an amended 2020 tax and pay the 6% penalty tax of $420 and leave in the earnings and just take out the $7k to rectify the 2020 excess contribution?
But if I do the amended 2021 return for both amounts combined $7000(2nd year excess) and $5717=$12,717, before Oct 15,2022 do I have to take the earnings as a distribution too? and is there a tax liability on those? I know i don't have to pay the 10% early withdrawal because of age, but also thought i didnt have to pay on earning if the Roth account was established for 5 or more years?
How do I go about accomplishing this in Turbo Tax and what is my tax liability? Especially dealing with an overlapping excess and a new one all in the same 2021 return!
Any help is much appreciated!
