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Re-reading the series of posts I want to make some clarifications (and I will amend my previous answers as well).  The earnings portion of the corrective distribution will be reported on Form 5329 because it is coded on the Form 1099-R as an early distribution with code J.  The purpose of Form 5329 will be to record the exception reason that the earnings are not subject to the additional 10% tax.  Form 5329 must be included as part of the return in this situation even though no additional tax is being assessed.  If there were no earnings involved and only the original contribution was returned, then there would be no Form 5329.   The following are the instructions and options for handling the removal of the excess Roth contributions and earnings by the due date of your return.  When entering the Form 1099-R as indicated in the instructions below, use the information that you have available for the financial institution holding the Roth IRA account.   Follow these steps:   Since you made the excess contribution for 2025 and will withdraw the 2025 excess Roth IRA contribution plus earnings in 2026 before the due date, then you will get a 2026 Form 1099-R in 2027 which should have codes P and J.  This 1099-R will have to be included on your 2025 tax return and you have two options:     Amend your 2025 return after you actually have your 2026 Form 1099-R in hand.  OR   You can report it now in your 2025 return and ignore the 1099-R when it comes unless there is Box 4 Federal Tax withholding and/or Box 14 State withholding.  Then you must enter the 2026 Form 1099-R into the 2026 tax return since the withholdings are reported in the year that the tax was withheld.  The 2026 code P will not do anything to the 2026 tax return income but the withholdings will be applied to 2026.   If you wish to report the Form 1099-R now as part of your 2025 return without amending it later, go to the use these steps:     Go to Wages and Income > Retirement Plans and Social Security > Form 1099-R section of your return to add a Form 1099-R Select "I'll type it in myself" Box 1 enter total distribution (contribution plus earning) Box 2a enter the earnings Box 7 enter J and P Click "Continue" On "Is the IRA/SEP/SIMPLE box on this 1099-R checked?" screen answer "No, the box is blank"? On the "Which year on Form 1099-R" screen say that this is a 2026 Form 1099-R. Click "Continue" after all 1099-R are entered and answer all the questions. Continue until "Did you use your IRA to pay for any of these expenses?" screen and enter the amount of earnings under "Corrective distributions made before the due date of the return". @sselitser  @smags 

If you have not already filed replace the information in your original W-2 with your corrected W-2. If your return has already been accepted and the corrected W-2 would change your tax liability amend your return. 

You will need to double check that you have the latest update.   The online menu is in the bar at the top of your screen. In the dropdown, select "check for updates."    Since you mention you are up-to-date, I recommend restarting your machine as well.  

Type in the values exactly as they appear on your paper form, including the lower amount in Box 2a.  If Box 2a (Taxable Amount) is less than Box 1 (Gross Distribution), it means a portion of your distribution is non-taxable.  

To ensure TurboTax handles this correctly, you should not say no to the contribution question. If you do, the "excess contribution" message will not be triggered.   Since you have now withdrawn the excess contribution, you will need to indicate that by doing the following:   Go to the Deductions & Credits section and find Traditional and Roth IRA Contributions Check the box that applies to your Roth IRA, in the "Tell us about your IRAs" section, then Continue Did you open any Roth IRAs in 2024...?", select Yes and Continue When you reach, "Enter your excess Roth IRA contributions made in 2024...", enter the excess, then Continue   By doing this, TurboTax will update Form 5329. It will show the $ was carried over from 2024 but then subtracted because it was withdrawn before you filed your 2025 return. This results in $0 penalty for 2025.   Your Form 1099-R will not arrive until 2027, but you are required to report the earnings in your 2025 return. Here is how to report them now:   Go to Income on the left panel within your TurboTax account Click on the +Add more income box Scroll down to Retirement Plans and Social Security and click the down arrow to expand Click Start to the right of IRA, 401(k), Pension Plan Withdrawals (1099-R) Click on +Add a 1099-R, select the Enter a different way box, then Type it in myself On the next screen, you can select Type it in myself, or other options, then Continue Select the box on the top left for Financial institution or other provider (1099-R), then Continue Enter the provider's information, then Continue Enter the details from your Form 1099-R, enter total distribution in Box 1 and only the earnings in Box 2a Ensure the IRA/SEP/SIMPLE box is unchecked Use Distribution Code J & P in Box 7, then Continue Choose Year 2026 as the year on your Form 1099-R Continue until, "Tell us which person may have qualified for a penalty exception" and select the pencil symbol Next, on the, "These situations may lower your tax bill" screen, enter the amount of earnings under, "Corrective distributions made before the due date..."

You can download and print your tax return PDF package, and then Ctrl + F search for one of these Detroit city tax returns, depending on your residency status for the tax year you filed: Detroit Form 5119 Income Tax Individual Return - Nonresident   Detroit Form 5118 Individual Income Tax Return - Resident   Detroit Form 5120 Individual Income Tax Return Part-Year Resident To download your tax return PDF, follow the below FAQ instructions for your software type: TurboTax Online Open or continue your return. Select Continue or Start on Tax Home to enter your return. Select Tax Tools from the menu. Select Print Center, choose Print, save, or preview this year's return, and follow the instructions.   TurboTax Desktop Open or continue your return. Select File. Select Print/Save for Your Records. Choose to either Save As PDF or Preview Print Copy.

You can add a 1099-DIV here. They will be reported on your tax return on line 3.   Here's how to do this in TurboTax Online: Navigate to Federal Taxes, then Wages and Income.  Next, choose Investments and Savings (1099-B, 1099-INT, 1099-DIV, 1099-K, Crypto)  Choose Add Investments Either import, or enter manually.  To enter the 1099-DIV manually: Choose "Enter a different way" Select 1099-DIV and continue Either upload or choose "Type it in myself" Enter the information from the 1099-DIV requested in the interview

If you are referring to 2025 estimates paid throughout the year, you  can enter this by navigating to Deductions and Credits on the left of your screen > Deductions & Credits Summary from the pop-up list > Scroll down to Estimates and Other Taxes Paid and click to expand > Now select Estimated Tax Payments and choose the option that you want to enter (federal/state).   If you want to adjust 2026 estimates, go to Federal > Other Tax Situations > Form W-4 and Estimated Taxes.