turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

athom
Returning Member

Filling out 5329 form when excess contributions have been removed

Hi. I had excess roth IRA contributions for 2022. In the past month I withdrew my excess contributions (plus $70 extra to be on safe side). I had no earnings all last year. So my understanding is that since I removed my contributions and will file my taxes by the tax deadline for 2023, I avoid the 6% penalty (and have no earnings to report on my taxable income). My question is that I'm not sure TurboTax filled in the 5329 form correctly. Line 18 (part 4) talks about excess contributions from 2021 (reported on form 5329) - I didn't have any from 2021 or any other year, but TurboTax put my excess contributions for 2022 on line 18. Is this correct? This is basically causing me to have a value on line 25 where I'm having to pay a 6% tax (which I thought I was avoiding!). I'm so confused how this form should be filled out if I have ALREADY withdrawn my excess contributions for 2022. Can someone please clarify?

x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

2 Replies

Filling out 5329 form when excess contributions have been removed

on the IRA contribution section you enter the actual contribution then on the page that says you have a penalty

enter the amount withdrawn (by 4/15/2023). there should no longer be a penalty but the 5329 may appear if you enter its value on 12/31/2022 (line 25 of the 5329 should be blank or zero)

 

 

 

 

athom
Returning Member

Filling out 5329 form when excess contributions have been removed

Thanks for the reply. These instructions are what I did previously and unfortunately, that doesn't seem to work for some strange reason. I tried deleting the 5329 form and going through the instructions again and I get the same result.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question