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Retirement tax questions
@Chris_99 , in reviewing the previous posts, the return of $1,250 contribution for 2021 was to make room to apply the excess $1,250 from 2020 as part of the 2021 contribution. In that case , the $1,250 should be present on line 19 of the 2021 Form 5329 eliminating that excess in 2021. With the excess resolved in 2021, there is no excess carried over to line 18 of the 2022 Form 5329.
(Had the excess not been resolved in 2021, it would have carried forward to line 18 of the 2022 Form 5329 where a regular distribution of $1,250 in 2022 appearing on line 20 would eliminate the excess.)
‎February 22, 2023
12:45 PM