Deductions & credits

It depends. If you rolled the entire amount over to another employer plan and you did receive a 1099-R, indicate it was fully rolled over when you see the screen 'Tell us if you moved the money through a rollover or conversion'.  Select 'I rolled over some or all of it into an IRA or other retirement account with in the limits (60 days).'  This will remove any penalty if all of the funds were rolled over.

The 1099-R should not have been issued if it went from one plan administrator to another (not through your hands). If your former employer did take federal withholding and you did not replace that with your own funds, then that amount will be taxable and penalized.  Do no indicate it was rolled over if this is your senario.

Box 7 currently may have Code 1, which is correct when the plan administrator does not know what you are going to do with the money and you are below retirement age.