Turbo Tax never asked me what I did with the 401K Distribution. By putting a "G" in Box 7, I am saying it was rolled over into a qualified plan. However, the after tax contribution to the 401K, about 3% of the total, was placed into a Roth IRA. But when I entered this into Turbo Tax, I went from a refund to owing $239,000!
If I don't mention the after tax money going to the Roth IRA, the refund reappears, but the full distribution still appears on Line 4c of 1040 form. I am worried about how this looks.
