Simplified method line 2 when I chose general rule

Unfortunately, if you choose to use the general rule, you will need to determine the taxable amount of the annuity on your own. Turbo Tax will determine this for the simplified method only.  

 

Not all is lost however. Here is a link for Publication 939. In this publication are worksheets you can use to determine the taxable portion of your annuity.  Also you will need to enter data from the Actuarial Tables below the worksheets to enter multiples for the annuitants.  The reason why Turbo Tax does not calculate your taxable portion of the annuity because the general rule can be quite complicated as you can see from the worksheets. Are you sure you don't want to reconsider your  

choice and choose the simplified method instead?

 

If you are able to determine the tax free portion of your 1099R using the worksheet in pub 939: 

 

1. When you get to the screen that says let's figure out how much is taxable, indicate you will specify the amount.
2. Then a drop down will occur asking for the taxable amount. This is determined by the distribution of the annuity and subtracting the tax free amount using the General Rule Worksheet.

if you insist on reporting this using the general rule, you may wish to consult a tax professional in this first year to prepare your return.  As I said, this can be quite complicated to a novice as well as a seasoned tax pro such as myself. I have always used the simplified method in preparing these returns just for this very reason.