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March 10, 2023
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Turbo Tax Question "Withdraw from Roth IRA Before 2022?"

  • March 10, 2023
  • 1 reply
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I made excess contributions to my Roth IRA in 2020.  I withdrew the excess contributions in 2021 before filing to avoid the penalty.  Entered the 1099-R on my return and was taxed on the gains.  Bottom line...did what I was supposed to do to fix the error.

 

On this year's return (2022), when entering my 2022 Roth contributions Turbo Tax is asking me if I "Withdraw from Roth IRA Before 2022?"

 

Do I answer "Yes" because I actually did, or "No" because I corrected the situation in 2021?  In other words, is the intent of this question to identify unauthorized withdrawals or should I being reading it literally?

 

Thank you.

 

  

    Best answer by RobertB4444

    You'll answer 'no'.  It's asking about withdrawals and you technically didn't make one because you were pulling out excess contributions.

     

    @ptt87 

    1 reply

    March 10, 2023

    You'll answer 'no'.  It's asking about withdrawals and you technically didn't make one because you were pulling out excess contributions.

     

    @ptt87 

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    ptt87Author
    March 10, 2023

    That's what I thought.  Thank you for the quick reply.