A distribution paid to you as beneficiary of your mother's annuity or life insurance is not eligible for rollover to any type of account, so what you did with the money is not relevant to the tax treatment of the distribution. Putting this money into an IRA would therefore constitute a new, regular contribution to the IRA by you and you need to enter that new contribution in the Traditional and Roth IRA section under Deductions & Credits.
Yes, the amount in box 4 of this Form 1099-R is added to your withholding from other sources with the total credited on Form 1040 line 17 against your overall tax liability.
