In 2021, I had an HSA Excess Contribution in total of $625: $600 due to a job change that ended up resulting in my ineligibility for full contribution and the $25 ended up being due to additional employer contributions I wasn't expecting that posted in Jan 2022.
I was able to withdraw the $25 dollars with the HSA custodian, but didn't realize until later that I also had the $600 overage. I submitted paperwork to the custodian to withdrawn the additional $600 in excess contributions but did not hear anything back for probably a month.
With tax day approaching fast, I elected to file my 2021 return with Form 5329 attached to pay the additional tax on the excess contribution and planned to leave room within my HSA contributions this year to reconcile the excess fully.
Then to my surprise I get a check in the mail, dated April 14th, 2022, with the $600 in excess contributions removed. I considered I would need to file an amended return, but expected Optum to publish an updated 1099-SA but they didn't in a timely manner and I kicked the bucket road.
Come to 2022 taxes and Optum has posted two 1099-SAs for me, one with code 1 normal distributions, and the other with the code 2 $625 in excess contributions (with no earnings on the excess).
Do I need to amend my 2021 return to avoid scrutiny? I am unconcerned with refunding my 36$ in excess tax vs the trouble to amending. But will it raise red flags to have the code 2 distribution essentially unaccounted for? If I don't amend I will carry over the 2021 excess and still be under the limit for this years contributions.
Thanks, J
