Two forms 1099-R are required. For the rollover of the Roth 401(k) to a Roth IRA, the plan would report a direct rollover with code H, otherwise the plan would report with code B (possibly with code 1, 2 or 7 depending on your age) a distribution paid to you and subsequently rolled over indirectly within 60 days. For a direct rollover to another qualified retirement plan rather than to a Roth IRA the codes would be B and G together.
For the rollover from the traditional 401(k) the plan would report a direct rollover with code G and would report with code 1, 2 or 7 a distribution paid to you that you rolled over indirectly.
Any indirect rollovers of an offset distribution to pay off an outstanding 401(k) loan after separation from service will include code M (except for an offset distribution from a Roth 401(k) before age 59½).
Right, I've received two Forms 1099-R for the direct trustee-to-trustee rollover of each of the Roth and Traditional portions of my 401(k). To clarify, I am inquiring which form these two Forms 1099-R should be reported on as part of my return. Would it be directly and only on Form 1040? Or would it be reported on a supplemental form like Form 8606? Thanks.
Both must be reported. The result will appear on Form 1040 line 4 with the word ROLLOVER next to the line. As long as no taxable amount from the traditional 401(k) was rolled over to a Roth account, neither of these will increase the amount on Form 1040 line 4b.
In TurboTax, simply enter these Forms 1099-R and answer the follow-up questions. For the code G Form 1099-R from the traditional 401(k), simply indicate that it was not rolled over to any kind of Roth account, if that's true. For a code H Form 1099-R, no additional information is needed.