What if I incorrectly entered excess HSA contributions in a prior year?
If you didn't have an excess contribution and incorrectly reported it on your prior year return, you'll need to amend your prior year return to remove the excess contribution.
After you amend your prior year return, you can answer No to the question on your 2025 return asking if you were taxed for excess HSA contributions in the prior year, and this will stop your excess contribution penalty from calculating each year.