Yes, you do need to claim it. You should receive form 1099-R reporting your distribution from the retirement plan. Be sure to enter the form into TurboTax exactly as it appears and answer follow up questions. If you have deposited the money into IRA within 60 days, it is considered a rollover and your transaction is not taxable. TurboTax will ask you about this to make sure correct tax treatment is applied.
- Federal Taxes
- Wages and Income
- Scroll down to Retirement Plans and Social Security
- Select IRA, 401(k), Pension Plans (1099-R)