I withdrew $8,000 from my simple IRA and put it into my HSA. looks like I am going to pay tax on both transaction

[styvus1]

I withdrew $8,000 from my IRA to put it into my HSA

[Bsch4477]

Answer corrected. .  I don’t know if you over funded your HSA 

You can contribute up to $3,500 to an HSA if you have single coverage or up to $7,000 for family coverage in 2019, which is slightly more than the 2018 limits. If you're 55 or older anytime in 2019, you'll continue to be able to contribute an extra $1,000.

[Hal_Al]

After entering tour 1099-R, for the distribution, one of the follow up questions will be "did you roll it over to an HSA. Answer yes, and TT will treat it as tax free. There will be additional qualifying questions. 

You are only allowed to do this once in your lifetime and are limited to the annual contribution amount ($8000 married over 50). 

[Bsch4477]

I missed that. Thanks.