I have multiple W2's and contributed couple hundred dollars more than the allowed limit. I'm not getting distributions since the plan date to contact is past their scheduled date.
Is paying double tax is the only option?
Is Turbotax planned to fix the excess elective deferral issue with 1099R?
Will I get a refund if Turbotax cannot fix the issue?
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Yes, if you are unable to have the excess contribution distributed, double tax is the only option. You will be taxed on your 2018 Tax Return and then again when you withdraw the funds in the future. Check out IRS Pub 525 for more details: https://www.irs.gov/pub/irs-pdf/p525.pdf.
You need to report the excess contributions on Line 1 of your 2018 Tax Return by following these steps in TurboTax Online:
NOTE: It was just announced that an update is currently planned for April 12th, 2019 to resolve this e-filing issue. You may still see a warning about the excess contribution, but you should be able to e-file. You can check out this TurboTax FAQ for more information: Excess 401(k) Contribution Preventing E-filing .
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