I made a contribution to a Roth IRA in 2023 that was recharacterized to a traditional IRA in 2024 before filing the 2024 tax return. Some of the 2023 Roth contribution was an excess contribution which was withdrawn as part of the recharacterization. In 2024 I received two 1099-Rs - one for the recharacterized amount and the other for the excess contribution. Both show the taxable amount as $0.00 and the one for the excess contribution shows Distribution Codes PJ.
When I complete my 2024 tax return, TurboTax asks if I have ever made an excess contribution. Since the excess and earned interest was removed, should I answer Yes or No to this question? I tried to answer Yes but TurboTax then wants to apply some of the excess to 2024 which should not apply since the excess has already been removed.
All help will be greatly appreciated. Thanks!
