Right it won't be taxed. It should say ROLLOVER by line 4b or 5b. But you still get credit for the withholding on 1040 line 25b. But you can't return the RMD. You have to take it. Or is this for a 2020 return?
If you are looking at a summary screen or review screen those show the full amount as income and lump a lot of stuff together. You need to check the actual 1040 form and make sure it's right. Before filing you can preview the 1040 or print the whole return
https://ttlc.intuit.com/community/accessing/help/how-do-i-preview-my-turbotax-online-return-before-f...
