DMertz, unfortunately, I found myself in this exact same situation in 2024 and tried to convince my financial advisor that it was handled improperly by Schwab because they were likely instructed to do so. Nevertheless, can you advise me as to how to answer the TT question regarding the funds listed on the 2nd 1099-R which are the federal and state taxes? The question regarding what I did with the money, rollover, convert, combo rollover and conversion vs none of the above. I am guessing it is "none of the above" and taxes or penalty will apply.
Catherine G
