Why do you think the gifts given to individuals would reduce the taxable amount of the distribution?
Gifts given to an individual are not reported on a tax return. Gifts received from an individual are not reported on a tax return, regardless of the amount received.
If your gift given to an individual is greater than $15,000 then you are required to report the gift given on an IRS Form 709. There are no gift taxes owed if your total of all gifts ever given is less than $11.58 million.
TurboTax does not support Form 709. The Form 709 is not sent with your federal tax return. It is filed separately and mailed to the address shown in the Form 709 instructions
Go to this IRS website for a Form 709 - https://www.irs.gov/forms-pubs/about-form-709
