patrykgsdad, you haven't described anything that suggests an error in the program. When I implied that a 2018 Form 1099-R gets reported on your 2018 tax return, I was referring to entering the Form 1099-R itself. For the purpose of the Retirement Savings Contributions Credit, only the $100 withheld for taxes needs to be entered as an amount distributed that affects your 2017 Retirement Savings Contributions Credit since the other $400 was rolled over. Had you substituted $100 from another source to complete the rollover of the entire $500 within 60 days of the distribution date, none of this distribution from the 401(k) would be affecting your 2017 Retirement Savings Contributions Credit. Note that this $100 distribution not rolled over will affect your Retirement Savings Contributions Credit for several years to come. The $100 not rolled over reduces by $100 any new retirement contributions considered for the credit.
