Retirement tax questions

Thank you - It makes sense that I would amend the 2020 return because I didn't report any IRA contribution in 2020.   

For the 2021 filing, am I then only entering the code 2 1099-R from the traditional account?  Could you just explain how this approach will still result in $0 additional taxable income?

In review, it is still showing the distribution as taxable (the amount is only doubled here because this situation applies to my spouse as well):

These are the options I chose: