@user17754603828 go through the step-x-step procedure.
At one point it asks if you rolled the money over to a ROTH 401K - the answer is NO - you rolled it to a Roth IRA (which will get asked later).
is that the issue.
the 1099-R is correctly a "G" in Box 7, but I suspect you are not answering the questions correctly.
If you follow the questions closely, it will create the taxable event. I tested it just now and it worked. Answer "no" to this question:
Did you move this money from a 401(k) to a Roth 401(k)? This includes rollovers from a regular 401(k), 403(b) or 457(b) plan to a designated Roth 401(k), 403(b) or 457(b) plan.
Yes, I moved the money to a Roth 401(k), Roth 403(b), or a 457(b) plan
