Hi there,
Thank you for your detailed instructions. I am in a similar situation: I made an excess contribution in 2025 and corrected it in 2026 before the tax deadline, but I will not receive my 1099-R until 2027.
Following the steps outlined above, I noticed that while my federal tax is not affected (since this is a corrective distribution from my Roth IRA), my Massachusetts (MA) state tax seems to increase significantly and incorrectly. It is adding tax to both the contribution and the earnings as state taxable income. Is there a way to ensure the state calculation is correct?
