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  This is the next phase of my excessive IRA contributions saga.  I have prepared and filed amended 2021 and 2022 returns with Forms 5329, reporting excessive contributions in each year to my traditional IRA with basis.  https://ttlc.intuit.com/community/retirement/discussion/how-do-i-handle-traditional-ira-basis-form-8606-after-an-excessive-contribution-not-deducted-is/00/3701201   I am now dealing with 2023.  I am in the process of amending our 2023 return to correct an unrelated error and, I thought, to report and pay the 6% penalty on excessive traditional IRA contributions that carried over to 2023 from the two prior taxable years (2021 and 2022).  In 2025 (earlier this year), I requested and received corrective distributions of the excess contributions.     When I requested the distributions, I had not considered that, for 2023, I took a normal IRA distribution that was greater than, about double, the combined excessive contribution carryforward.  The 1099-R, as usual, has Box 1 gross dist & Box 2a taxable amounts the same (the total distribution amount in both boxes), the Taxable Amt Not Determined box is checked, Code 7 on line 7, and IRA/SEP/SIMPLE checked.          Now, I am not sure how to proceed with TT in amending my 2023 return.  I would appreciate insight and help.  Here’s where I am:   OPTION A (?).  (Note:  I prefer this option, to bring this mess to conclusion earlier rather than later, and hope that it is an acceptable and doable approach.)    On the 2023 amended return, can I consider and report the 2023 normal distribution as clearing the excessive contributions, such that I will not need a 2023 Form 5329 & penalty payment?     I think that OPTION A MAY require that I make certain adjustments in TT to my “as received” 1099-R info – particularly the line 2a taxable amount, manual addition of various codes, possibly an adjustment of my IRA basis, I even wondered about entering two 1099-R's for the distribution, one with the return of contribution and the remainder as normal – but I am not confident how to do that correctly in TT.     I do need to understand how my distribution is being taxed, pro-ration and all, so I can feel confident that I am reporting it correctly on my amended return.   Maybe OPTION A is my only option, i.e., that this clearing of the excessive contributions happens and must happen when a normal distribution is taken on my facts, I don’t know.  If this is the option taken, then I also need insight into what to do when my 1099-Rs for the corrective distributions I requested and received in 2025 are reported, as those distributions would then be properly treated, and I guess I would need to manually re-code them, as normal distributions since all excessive contributions would have been cleared on my amended 2023 return under this scenario.   OPTION B (?).  Report the normal distribution exactly per the 1099-R as received, consider the prior year excessive contributions as remaining in the IRA for 2023, making sure that I answer TT’s questions correctly to achieve such treatment.  This, if an option, I imagine would result in another penalty for 2023 with another Form 5329, ditto for 2024, as the corrective distributions weren’t made until 2025.     If OPTION B is the approach, I think I know how to handle the 2025 1099-R’s.  The corrective distributions I received in 2025 were just contribution amounts, with no earnings calculated thereon.  I expect they’ll be entered as received.     Any insights and instructions would be greatly appreciated!