In 2019, I contributed $6500 to a Roth IRA. In December 2019 I recharacterized that to a new traditional IRA (having no other trad. IRAs), which came out as $7787 including earnings. I converted that traditional IRA, 2 days later back to the Roth IRA, now $7787.
Turbotax says I had an excess contribution to the traditional IRA of $787, and have a penalty. It says to avoid the penalty, I must withdraw that amount from the traditional IRA. It already knows the balance of the traditional IRA is $0.
Do I need to withdraw that amount from my Roth IRA? Do I just tell Turbotax I withdrew $787? Something else?
Thanks!
