Company ESOP rolled into IRA (Roth vs Traditional)

[beach1220]

I have a question regarding a rollover of company stock into an IRA for my 2023 taxes. I received a distribution from an ESOP plan for a company I left back in 2021. I have a personal IRA and a personal Roth IRA. This company stock was rolled over into my tradtional IRA (pretax). Everything looked good on the 1099R I received from the custodian, except the taxable amount was listed as the full amount. I called the custodian for the company stock account and it appears that I may have checked a box to designate this for a Roth rollover vs the traditional IRA.  When put it into TurboTax it asks if it was rolled into a traditional account (it was), so the taxable amounts on my taxes are correct. I'm just wondering if this will get flagged by the IRS due to the amount being listed as taxable even though i rolled it into the tax deferred account. I have the statements to prove where the money ended up if I were to be audited, but I'd like to avoid any unnecessary entanglements with the feds. Any advice on a best path forward?

[dmertz]

"I'm just wondering if this will get flagged by the IRS due to the amount being listed as taxable even though i rolled it into the tax deferred account."

Maybe.  You might consider heading that off by entering a substitute Form 1099-R (Form 4852) having $0 in box 2a in place of the original Form 1099-R, allowing you to provide explanation.