Roth gains are taxable if you make a withdrawal prior to retirement age. Contributions can always been withdrawn tax free, since they are post-tax contributions to begin with.
OP, they should've only refunded your contributions, not any gains at all. I believe the form you need is 8606. It allows you to enter your cost basis (your contributions) and your withdrawal amount. Since your withdrawal will be less than your cost basis, you'll owe $0 taxes on that $ once you complete the correct form. Your tax program will have the form, but you'll likely have to search for it, it probably will not prompt you to fill it out on it's own.
Close. He has to take out the gain attributable to the excess contribution. It's a simple calculation and doing so SHOULD NOT put you into a perpetual loop. You take out the two pieces, apply any tax, done. If you take additional funds out of your ROTH to cover, put that can of worms back on the shelf.
Deal with the tax liability out of your current bank accounts and not any retirement accounts. JMO
You will get hit with a tax liability and 10% penalty on any gain.
You can also leave the excess in the account, use the excess as part of your 2024 contributions, reduce your actual $ into the account by prior year overage. 7000 limit, 1000 overage, 6000 contribution in 2024. There is a 6% excise tax on any excess contributions. Have to crunch some numbers to see which method is most favorable.
This has a pretty decent explanation...
https://www.fool.com/retirement/plans/roth-ira/excess-contribution/ 
