In this case, the 1099-R shows a gross distribution amount in box 1 ($100,000.00), and a taxable amount in box 2 ($20,000.00) with a code G in box 7.  The $20K in box 2 refers to a direct rollover into a Roth IRA, the $80K difference remains tax deferred (traditional IRA rollover).  So is the 1099-R in error?