Question

1099-R and PJ for Excessive ROTH Contribution

Forum|Forum|5 years ago
January 27, 2021
1 reply
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I made a contribution in 2019 to my ROTH. In February 2020 when filing my taxes I realized that I made an excessive contribution and worked to move the money out of the ROTH before filing my taxes. This year I received a 1099-R with the code PJ and an amount in box 2a as a taxable amount. The 1099-R has the year as being 2020. Do I need to amend my 2019 taxes or can I file this somehow on my 2020 taxes?

D

dmertz

Employee

Entering a code PJ 2020 Form 1099-R into 2020 TurboTax will have no effect on your 2020 tax return except in the unusual case where this From 1099-R shows tax withholding in box 4; 2020 TurboTax will just show that the return of contribution needed to be reflected on your 2019 tax return, with the taxable amount in box 2a adding to taxable income and potentially being subject to a 10% early-distribution penalty on 2019 Form 5329 rather than the excess contribution penalty that would have been present on Form 5329 had you not obtained the return of contribution. If your 2019 tax return does not already reflect all of this, you must amend your 2019 tax return.