You seem knowledgeable on Roth IRA Excess Contribution Withdrawals in TurboTax.
Discovered in March 2019 I was over the AGI limit, so my 2017 and 2018 Roth IRA contributions were considered Excess Contributions. Vanguard said to withdraw (which I did in March 2019), and that only current year (2018) would need to report earnings. Any earlier years excess contributions would be assessed a 6% penalty, but no calculation for gains/loss would be considered.
The 2019 1099-R shows one line item consolidating 2017+2018 removal of the excess.
Gross Distribution (Box 1) = 12,899.36. Box 7 = PJ
2018 excess contribution withdrawn $6399.36 3/12/19 before deadline, with a loss. So, no penalty, no taxes due.
The 2017 contribution was withdrawn 3/12/19, full amount of $6500. Only penalty due.
Questions
1. Does each one line on the 1099-R have to equate to one entry in TurboTax? Or am I supposed to break these out by the year the contribution was made?
2. Does TurboTax calculate the penalty (Used to show on Line 59, now on Schedule 4)?
3. For the 2018 excess, in TurboTax, do I plug in $6399.36 in Box 1, and Box 2a = 0, and Code P for bottom box 7 and leave top box 7 empty?
4. For the 2017 return, in TurboTax, do I plug in $6500 in Box 1, and Box 2a = 0, and let TurboTax calculate the penalty? What code goes in Box7 top and bottom?
