In 2023, I found that I mistakenly contributed to Roth IRA account (I thought I was contributing to traditional IRA)
- $6000 in 2020
- $6000 in 2021
- $2000 in 2022
- $2000 in 2023
So in 2023, I did the following:
- Filed 2022 tax with $4000 as Traditional IRA contribution (I didn't realized the mistake when I filed my tax);
- Recharacterized the latest $4000 Roth IRA contributions into $2000 2022 and $2000 2023 traditional IRA contribution ;
- Took out all the 2020 and 2021 contribution (there's no gain on these contributions);
- Filed form 5329 for 2020, 2021, 2022, the penalties were $360, $720, $720.
Now in 2024, I received all the 1099R for the distributions happened in 2023. According to the 1099R instruction, I need to
- Report the recharaterization of 2023;
- Amend 2022 tax return to report the 2022 recharacterization;
- For the distribution related to 2020 & 2021 excess amount, based on i8606 instruction, it should be nontaxable and I need to "Include the total amount distributed on 2023 Form 1040, 1040-SR, or 1040-NR, line 4a; and attach a statement to your return explaining the distribution."
I want to check if my understanding is correct? Also, I didn't receive any letters from IRS after I mailed form 5329, nor does my IRS online account show any balance due. How do I confirm if the forms has been received and processed? Do I need to resend the forms this year?
Thank you so much in advance!
