Excess SEP contributuion

[user08181992]

I made an excess SEP IRA contribution in 2025.  I had my financial institution return it as an excess in 2026.  i understand I need to report the earnings on the contribution as taxable in 2025.  How do I do this when the financial institution wont issue a 1099 until 2026 for these earnings?

[ReneV4]

To report excess earnings on the contribution in 2025, you will need to enter the Form 1099-R you will be receiving in 2026 as if you had it now.

1. Go to Wages & Income on the left panel within your TurboTax account
2. Click on the +Add more income box
3. Scroll down to Retirement Plans and Social Security and click the down arrow to expand
4. Click Start to the right of IRA, 401(k), Pension Plan Withdrawals (1099-R)
5. Click on +Add a 1099-R, select the Change how I enter my form box
6. On the next screen, you can select Type it in myself, or other options, then Continue
7. Select the box on the top left for Financial institution or other provider (1099-R), then Continue
8. Enter the provider's information, then Continue
9. Enter the details from your Form 1099-R
10. In Box 1 enter the total distribution, plus earnings),
11. In Box 2a enter the earnings
12. Choose Distribution Code 1 (if under 59 1/2), or Code 7 (if over 59 1/2) in first Box 7, then check the, "I have more than one value in Box 7" box
13. Enter Code P for second Box 7, then Continue
14. Select Yes for "Is the IRA/SEP/Simple box checked?", then Continue
15. Select 2026 for, What year is on your 1099-R?", then Continue, answering the questions as you go
16. When you reach, "These situations may lower your tax bill"
17. Enter earnings in the Corrective distributions made before the due date of return box, which is near the bottom

Note: When you receive your 2026 Form 1099-R, you can ignore it, unless there is Box 4 Federal Tax withheld. If that is the case, you will need to enter the Form 1099-R to report that withholding.

[Edited 02/10/2026 | 4:23 pm PST] @user08181992