Turbotax is screwing up my 1099-R

[PugsBunnt68]

I got a 1099-R for taking a withdrawal from a post-tax pension plan into a ROTH IRA. 

Gross distribution $10,300

Employee after-tax contribution $10,000

The system is taxing me on the $300, but I didn't actually take the distribution, it got sent into my 401k (so will be taxed again when I retire), so therefore the entire transaction should have been tax free.

But ALAS Turbotax didn't take this into account and i keep getting taxed for the $300 income

[FangxiaL]

If the $300 represents employer match, then TurboTax is correct in figuring out the taxable amount of $300.

[dmertz]

As I understand it, you have a code-G Form 1099-R that reports a $10,300 distribution from the after-tax sub-account in your 401(k) and that distribution was split to two different destinations, with the $10,000 after-tax portion rolled over to a Roth IRA and the $300 pre-tax portion rolled over to the regular traditional account in your 401(k).

Because you rolled this distribution over to two different destinations, in TurboTax you must split the Form 1099-R into two, one for the $10,000 that went to the Roth IRA (with $10,000 in box 5) and the other for the $300 that went to the 401(k) (with $0 in box 5).  By indicating that the $300 did not go to any kind of Roth account and showing $0 in box 2a, TurboTax will treat the rollover of the $300 as nontaxable.