We have an excess contribution to a Roth IRA during 2023. We had the contributions reversed and returned. What do I need to do in this tax year (2023) to address this?

[randythompso]

We have an excess contribution to a Roth IRA during 2023. We had the contributions reversed and returned. It is my understanding that of the distribution, only the gains would be taxable. I think I will receive a 1099-R for this distribution in 2025 since the distribution occurred in 24, but I did not get one this year. What do I need to do in this tax year (2023, due 2024) to address this?

[fanfare]

Did you request an extension of time to file?

@randythompso 

[randythompso]

Yes, I did file the extension. I have until 10/15 to complete the filing. 

[randythompso]

My understanding is that taxes for 2023 gains are due with 2023 taxes. Confused about how to report as income without the 1099-R. 

[fanfare]

https://ttlc.intuit.com/community/taxes/discussion/[product key removed]ved-for-jp-j-early-distribut...

The trick for entering a 1099-R for excess earnings now is discussed at the end of this thread.

@randythompso 

[fanfare]

Reply back as to how the procedure works or does not work for you

positive earnings removed are no longer penalized 10% if you are under age 59 1/2. (eliminated in 2023)

@randythompso