@DanaB27
Thank you so much for your response. To confirm, yes I made the ineligible Roth contribution of $7500 on 12/31/22, but didn't remove it until 4/5/24, missing the extended due date of 2022 return, but hoping to catch 2023 return. To confirm, I would go back to Turbo Tax 2022 and amend 2022 return with 6% penalty on the $7500; for 2023 return, I would file now with 6% penalty, not having to wait for 1099-R; for 2024 return, enter 2024 1099-R for the $1.15 withheld tax. Is that right?
One additional detail, with net losses in the account, I removed the total account balance left, which I would call withdraw excess contribution with earnings(losses). You mentioned “should have requested a regular distribution without the earnings”, so to clarify, if done within due date, it’s called withdraw of excess contribution (and should be done with earnings included), but after due date it becomes a regular distribution? And for regular distribution, earnings should not be included? So I wanted to be aware whether that’s significant, i.e. the regular distribution and the earnings? With the way I had the whole balance removed and with withheld tax, could I still follow what you suggested above? Thanks in advance so much for your help.
