dmertz
Level 15

Retirement tax questions

It would seem that the $700 Form 1099-R is being treated as having been not been reported as being an RMD and as having been rolled over.  Try deleting and reentering this Form 1099-R, making sure to indicate in the follow-up questions that the required RMD was $700, that $700 was allocated to RMD and that the distribution was cashed out.