Retirement tax questions

Code 1 - Early distribution, no known exception (in most cases, under age 59½).

 

After you completed entering the Form 1099-R there are a series of screens asking questions.  On the screen labeled Do any of these situations apply to you?  Make sure that you checked the box None of these apply

 

You stated the IRA/SEP/SIMPLE box is not checked.  However, you would not have been presented with this screen if it was not checked.  Go back to the Form 1099-R and verify that the IRA/SEP/SIMPLE box is Not checked if in fact this was not from an IRA.