Hi,
I made excess Roth IRA contributions few years ago and I removed both contributions and earnings in 2024. I removed $2400 as contributions, $700 as earnings with a total of $3,100 and around $76 is federal tax held. However, the 1099-R, I received from my financial institution says the total gross distribution as $3100 without splitting contribution and earnings. When I entered this in TurboTax, I am being taxed because the distribution isn't qualified (home-buying or after 59.5 years of age).
I believe I have to pay regular tax rate (based on my income) on the $700 earnings only. I don't understand how this was reported and interpreted by TurboTax software.
