Roth IRA excess contributions

[RMSch1061]

Ok. I think to set my mind at ease, I will amend my 2022 return to include the two 2023 1099-Rs with code JP, so that I can add the explanation statement. I will also remove from the Roth IRA worksheet that I made contributions in 2022, to clear that out as well even though it does not come up on the return.

Then on my 2023 return, I can remove the 1099-Rs with code JP and just leave the two with code J8, correct? (Or, does it matter if I leave them?)

I think this will tie everything up neatly.

@DanaB27 

[DanaB27]

Yes, it doesn’t matter if you remove the 2023 Form 1099-Rs with code JP because code P on a 2023 Form will tell TurboTax to ignore the income in the 2023 tax return and only apply taxes withheld from box 4 and 14 to the 2023 return.  Therefore, since you had no taxes withheld, you can either delete the Form 1099-R with code PJ or leave them on the return.

[RMSch1061]

Thank you so much @DanaB27 for all your help!!

[RMSch1061]

I am going back to amend my 2022 return. After entering my 1099-Rs with code PJ, it is now asking me the value of my Roth IRA on December 31, 2022. Should this be the value it was, or the value minus the contributions I removed?  It also looks like I can proceed without answering this question at all.

@DanaB27 

[DanaB27]

It seems that you still have the excess contribution entered in the IRA deduction section. Please go back and make sure that you enter the full excess contribution amount (ignore the losses) as removed on the penalty screen:

1. Click on "Search" on the top right and type “IRA contributions”
2. Click on “Jump to IRA contributions"
3. Select “Roth IRA”
4. Continue until the penalty screen and enter the excess contribution amount withdrawn (ignore the losses).

Once this is fixed TurboTax will not asked this question. This question is used to calculate the penalty amount on Form 5329. 

[RMSch1061]

Thanks. When I removed the contributions in the Deductions and Credits section, this question ended up going away anyway.

@DanaB27