Early distribution from a 401k that the software says avoids the 10% Penalty as it was due to COVID, yet the software is still assessing us a 10% Early Withdrawal Penalty

It says, "You're eligible for the COVID-19 exception" after I answer the questions related to COVID but it still assesses the penalty. Do I need to enter the distribution amount under "Other Reason" when asked "These Situations May Lower Your Tax Bill"?