To cause TurboTax to treat a code T distribution as a nontaxable qualified distribution You must click the Continue button on the Your 1099-R Entries page and answer Yes when 2019 TurboTax asks if you had a Roth IRA before 2015. If you instead answer No, TurboTax will require you to enter your basis in Roth IRA contributions and conversions to be able to prepare Form 8606 Part III to calculate the taxable amount of the distribution. If you have not yet answered this question TurboTax will by default treat the distribution as a qualified distribution but will treat the lack of an answer to this question as an error on your tax return that must be corrected before e-filing. If TurboTax is truly treating this distribution as taxable, it implies that you previously answered this question indicating that you did not have a Roth IRA before 2015.
