A bit more info.... This settlement distribution was issued from a Roth IRA closed in 2020. Since it was closed a check was issued payable to the Custodian FBO the Roth IRA. The closed IRA had not been opened for five years so I suspect that triggered the distribution as non-qualified and therefore taxable.
There is still a conflict though in the check being payable to the Roth and being taxable. Payable to the Roth is a rollover, I couldn't deposit it anywhere else.
