DanaB27
Expert Alumni

Retirement tax questions

Yes, that is correct since you removed the 2020 excess after the 2020 extended due date you have a regular distribution (without earnings). You correctly reported the 6% penalty on your 2020 and 2021 returns.

 

 You can withdraw contributions you made to your Roth IRA anytime, tax- and penalty-free.  Please make sure you include the 2020 excess contributions in your net contributions prior to 2022:

 

  1. Login to your TurboTax Account 
  2. Click on "Search" on the top and type “1099-R” 
  3. Click on “Jump to 1099-R” and enter all your 1099-Rs
  4. Click "Continue" on the "Review your 1099-R info" screen
  5. Answer all the questions and make sure you enter the net contributions prior to 2022 on the "Enter Prior Year Roth IRA Contributions" screen (include the 2020 excess contribution)
  6. Answer the remaining question.

 

 

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