Form 1099-R box 7 code H indicates a direct rollover of a designated Roth distribution to a Roth IRA, which is generally not taxable. However, if the payer includes the amount as taxable income, verify the rollover was completed properly and reported correctly. We'll help you get started or pick up where you left off. We added a new code "Y" to the list of codes for box 7 to identify a qualified charitable distribution (QCD). Is Distribution code H taxable? If the distribution code entered is "H", the gross amount of the distribution carries to Form. Code E - Distributions under Employee Plans Compliance Resolution System (EPCRS). Code F - Charitable gift annuity.