So long story short, ended up meeting the Foreign Earned Income tax exclusion and contributed to our Roth IRAs. I completed the process and removed the excess + gains. I filed an extension so I wasn't late in removing the amount so no 6% applied to my account.
So my question is, do I need to still withhold state and federal tax on the amounts even if I'm not paying any income tax? How is the tax on the gains processed if I've technically not earned any income in 2023?
Sorry if already posted.