I withdrew an excess deferral into 401K before April 15th, and entered the withdrawal under retirement income. Does Turbotax know not to calculate tax liability twice?

I contributed an excess of $595.50 into my 401K in 2018 (2 employers). After discovering the error, I withdrew $596 from the second employer's 401K.

I do not have a 1099-R but I entered the withdrawal under retirement income as if I had a 1099-R.

2 problems: TurboTax is flagging the excess contribution and marks it as an error, preventing filing; and how do I know I am not being taxed twice (once for the excess deferral and once for the new $596 withdrawal I have entered)?

526

Intuit Alumni

Jun 1, 2019 5:13:41 PM

Unfortunately, customers who had excess 401(k) contributions withheld will need to paper-file, even after taking the corrective steps. See the corrective steps to take below to ensure you are not being double taxed. https://ttlc.intuit.com/replies/7327357

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I withdrew an excess deferral into 401K before April 15th, and entered the withdrawal under retirement income. Does Turbotax know not to calculate tax liability twice?