To properly report the rollover from the 401(k) to the traditional IRA, TurboTax only needs to know that the code G direct rollover was not to any kind of Roth account. The gross amount of this distribution will appear on Form 1040 line 16a or Form 1040A line 12a but will be excluded from the amount on line 16b or 12b. The word ROLLOVER will appear next to the line.
By entering the separate code 1, 2 or 7 Form 1099-R for the Roth conversion from the traditional IRA, the Roth conversion will appear on Form 1040 line 15 or Form 1040A line 11.
