Hi Jaynishimura!
According to https://www.irs.gov/publications/p590a:
"For purposes of determining excess contributions, any contribution that is withdrawn on or before the due date (including extensions) for filing your tax return for the year is treated as an amount not contributed."
Based on this language, it's likely you do not have to report it as retirement income (a distribution) unless it earned interest. It's like it never happened and the tax treatment would be handled based on the original source of the funds.
Hope this helps!
