the 1099-R is correct and should be entered as is
you need to indicate the IRA is a nondeductible contribution. then since you have basis in the IRA there is no taxable income or tax on the conversion.
1099-R leave the taxable amount blank and then on the 1099-R worksheet complete lines b4 and b5
on the IRA contribution wks enter the amount of the IRA contribution on line 1 and on line 15 (the nondeductible portion) enter the amount on line 1
there will be form 8606-T in your return. but no 5329
