why is turbo tax adding my roth distribution to my taxable income?

Please make sure you answer the Roth IRA follow-up question after entering the Form 1099-R.

1. Login to your TurboTax Account 
2. Click on "Search" on the top and type “1099-R” 
3. Click on “Jump to 1099-R” and enter all your 1099-Rs
4. Click "Continue" on the "Review your 1099-R info" screen after you entered all you Form 1099-R
5. Answer "Owned Any Roth IRA for Five Years?" screen
6. Continue through the questions and make sure you enter the net contributions prior to 2024 on the "Enter Prior Year Roth IRA Contributions" screen
7. On the "Any Roth IRA Conversions?" screen answer "Yes" if you made conversions before 2024
8. Continue through the questions.

Note, if you receive Qualified Distributions from your Roth IRA then your Form 1099-R should have code To or Q in box 7. In this case you don't need to enter your net contributions or conversions.

Please be aware that the whole distribution will show as income in TurboTax on the summary screen which shows gross income, not taxable income. To verify your taxable distribution please look at Form 1040 line 4b (taxable amount).

To preview Form 1040:

1. Click on "Tax Tools" in the left menu
2. Click "Tools"
3. Click "View Tax Summary" in the Tool Center window
4. Click on "Preview my 1040" on the left