I have never seen a form like this before where a 1099 R has a code G for rollover, yet an amount taxable is also indicated. 

Even so, the software does not seem to recognize the taxable amount in form 1040.

Should the broker have issued a separate 1099 R for taxable and non taxable? still, it's  a roll over so why taxable?

Thanks for shedding any light on this.