Thank you both! Box 2a is zero. I have changed code 81 to code 82 on Form 1099-R, and that seemed to work! Great news!!
dmertz - The additional Form 5329 tax calculation of $160 (which is included on row 59 of Form 1040) is calculated $1,602 times 10%. I cannot find the source of the $1,602 (in my previous post, I incorrectly indicated that the calculation was considering my 12/31/2016 non-deductible basis of $16,000, which I don't think is correct). In any case, when I change the code from 81 to 82, everything seems to look OK. Thanks again.
