@mlaksmana - Refer to the IRS Pub 525 page 10
<a rel="nofollow" target="_blank" href="
https://www.irs.gov/pub/irs-pdf/p525.pdf">https://www.irs.gov/pub/irs-pdf/p525.pdf</a>
'Report a loss on a corrective distribution of an excess deferral in the year the excess amount (reduced by the loss) is distributed to you. In-clude the loss as a negative amount on Sched-ule 1 (Form 1040), line 21, and identify it as “Loss on Excess Deferral Distribution.”'
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
