Paying Penalty for Excess Roth IRA Contribution

Posted by ruben on April 12, 2006, 11:09 pm

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I made an excess contribution of $3000 into my Roth IRA
January 2004. I discovered it and removed it (w/o earnings)
in February 2006. I am certain that I owe the 6% penalty
for 2004, not so sure about 2005, as I have withdrawn the
excess prior to that year's filing date. Some may differ on
this interpretation, claiming I missed doing it by December
31, 2005 and it is due.

My trustee is going to issue a 1099-R for the withdrawal of
February 2006. When can I expect this to happen?

When is the 2004 penalty due? Can (and should) I wait until
the 1099-R is issued to pay this penalty? Otherwise, how
long can I go until I pay this penalty without additional
penalty?

Will the 1099-R offer clarification on whether I need to
ammend the 2005 return to pay the penalty for 2005?

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