Retirement tax questions

For a return of an excess Roth IRA contribution (with earnings when applicable) you will use code codes J and P.  Code P will indicate a "Return of contribution taxable in 2023".  That can be ignored since a follow-up question will tell the program that it is taxable in 2024.

Since you made a "timely correction" you will receive a 2025 Form 1099-R in 2026 with codes P and J. This 1099-R will have to be included on your 2024 tax return and you have two options: 

• Wait until you receive the 2025 Form 1099-R in 2026 and amend your 2024 return or
• Report it on your original 2024 return and ignore the 1099-R when it comes.

You can create a Form 1099-R in your 2024 return as follows:

1. Make sure you are logged in to your return 
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 2024?"
5. Select "I'll type it in myself"
6. Box 1 enter total distribution
7. Box 2a enter the earnings (if applicable)
8. Box 7 enter J and P
9. Click "Continue"
10. On "Is the IRA/SEP/SIMPLE box on this 1099-R checked?" screen answer "No, the box is blank"?
11. On the "Which year on Form 1099-R" screen say that this is a 2025 Form 1099-R.
12. Click "Continue" after all 1099-R are entered and answer all the questions.
13. Continue until "Did you use your IRA to pay for any of these expenses?" screen and enter the amount of earnings under "Corrective distributions made before the due date of the return".