Carl
Level 15

Retirement tax questions

The code 7 indicates that you were of retirement age at the time of the withdrawal transaction. Therefor no early withdrawal penalties would be assessed.
On an IRA the custodian is not required to withhold taxes (not one penny) unless you specifically requested it with something like a W-4 you may have filled out at some time in the past for this account.
The $4,840 was not converted, since it was sent to the IRS and state, and that amount "is" taxable income on your 2018 return. So unless you personally made up the difference with money out of your pocket, you have a $39.160 conversion that "is" taxable income, and the $4,840 paid to the state and IRS is also taxable income.
So the entire $44K is taxable income on your 2018 tax return, and take note that will increase your AGI for the tax year, potentially putting you into a higher tax bracket.
Now, based on my experience, correcting an already entered 1099-R doesn't work for whatever reason. It just makes things worse. So you need to delete the 1099-R. Work through the 1099-R section and after you delete it, continue working it through until you get to a screen with a DONE button on it. Your deletion doesn't "stick" until you click that DONE button.
Now re-enter the 1099-R anew making sure you enter it perfect the first time. Then it's vitally important you pay attention to the screens that will follow the 1099-R data entry screen so that you make the correct selections.
As a reminder (mainly for others reading this) a ROTH IRA is funded with "AFTER" tax money. So when you convert a Traditional IRA to a ROTH IRA, every penny of the converted amount is taxable income in the tax year the conversion takes place.