Code G by itself is only to be used for direct rollovers from the traditional account in the 457(b). A direct rollover form the designated Roth account in the 457(b) to a Roth IRA is required to be reported with code H. Any other distribution from the designated Roth account is required to include code B in box 7. In other words, a Form 1099-R for any distribution from the designated Roth account must include either code H or code B in box 7. (Codes G and B together in box 7 would be used to report a direct rollover from the designated Roth account in one employers plan to the designated Roth account in another employer's plan, not to a Roth IRA.)
