Retirement tax questions

Yes, you won't have any taxable income to report on your 2022 tax return because you had a loss but since you are working on your 2022 tax return it is a good idea to enter the mock 2023 Form 1099-R with code JP to report the distribution and to trigger the Explanation statement for the IRS.

1. Login to your TurboTax Account 
2. Click on the "Search" on the top right and type “1099-R” 
3. Click on “Jump to 1099-R”
4. Answer "Yes" to "Did you get a 1099-R in 2022?"
5. Select "I'll type it in myself"
6. Box 1 enter total distribution (contribution plus earning)
7. Box 2a enter the earnings
8. Box 7 enter J and P
9. Click "Continue"
10. On the "Which year on Form 1099-R" screen say that this is a 2023 Form 1099-R.
11. Click "Continue" after all 1099-R are entered and answer all the questions.
12. Continue until "Did you use your IRA to pay for any of these expenses?" screen and enter the amount of earnings under "Another reason" if you are over 59 1/2 (if you are under 59 1/2 click "Continue")

Please be aware, code P will say in the drop-down menu "Return of contribution taxable in 2021" you can ignore that since the follow-up question will tell TurboTax that it will be taxable in 2022.

Yes, step 10 for your contribution entry is correct: "Enter excess Roth IRA contribution for the prior year (to 2022).  A: $0"

Yes, you can ignore 2022 Form 1099-R with J, P in Box 7 because you had already reported it in 2021. Yes, 2022 Form 1099-R with J in Box 7 is entered on the 2022 return.

@Chris_99