Tax help for military filers

Since you have to report the 1099R as income, you would follow the above steps to "adjust" the income to zero.

 

As for the foreign tax credit carryover, those credits will be used when you pay US tax on foreign income.  If you don't pay any US tax on foreign income, you don't get to use those credits.  https://www.irs.gov/pub/irs-pdf/p514.pdf