Yes, you can rollover money distributed back into another Retirement account or the same account it was withdrawn from. The amount put back will not be considered taxable as long as you follow the 60-day rule.
60-day rule- A taxpayer has until the 60th day following a distribution to make a rollover contribution. Distributions that are not rolled over in 60 days are taxable in the year distributed, even if the 60-day period expires in the following year. Contributions made after the 60-day period are treated as regular contributions.
As long as you satisfy the 60-day rule, this will lower your AGI for 2022. You can return any amount you choose, whether full, partial or more. Since your cap is $100,000 of AGI, I recommend returning the amount that will get you under that cap.
Here are the steps to enter a rollover into TurboTax:
- Search for 1099-R and select the Jump to link in the search results
- Continue through the screens to import or enter your 1099-R form
- When asked Tell us if you moved the money through a rollover or conversion select I rolled over some or all of it to an IRA or other retirement account within the time limits (normally 60 days) and select Continue
- On the next screen, Did you roll over all of this (Box 1) to another retirement account? answer Yes, I rolled over to an IRA or other retirement account (or returned it to the same account) and select Continue
