You've added $17.5k of taxable income without adding any more tax withholding. The $2k refund changing to a $2.3k balance due implies a marginal tax rate of about 25% on the Roth conversion. That's not implausible and would depend on your other taxable income.
Both the code-G and code-2 Forms 1099-R are reportable income and properly get added to your total income but only the code-2 Form 1099-R is taxable income that affects the rest of your tax return.
