There are at least three different things just in this one part:

"I did not notice a small Roth (code BB)"

That's a Roth 403(b), employer plan?

"in client's W-2."

That means she is the employee with a plan.

"With her husband's income, she was over the income limit"

That's different than the first two issues, as well.

"for the $7500 traditional IRA I suggested."

When did the funds get deposited? in 2022 or in 2023?

"including the ineligible $7500 from 2022."

+ earnings. There needs to be an action, such as corrective distribution in 2024 for the 2023 tax year filing (removal of contribution + earnings).

"or can she do it now without penalty and deduct the $7500 from taxable income?"

One option is to pay the penalty and leave the funds, roll it to the next year, if she qualifies. But amending as nondeductible, then moving to Roth, means there never is deductibility. That's the point.

There's plenty of time for this.

"I will amend using Form 8606, and taxes will be owed."

She has a choice to make from the various options:

https://www.investopedia.com/articles/retirement/04/042804.asp

https://www.nerdwallet.com/article/investing/excess-contribution-to-ira

"for the next 3 decades and pay a future accountant to file it."

Leaving it in means penalties every year, on and on. Why not deal with it now?