How to reflect RMD

Nope. The same functionality as Quicken Windows does not exist in Quicken Mac. 

The issues is that you need to do a transfer (from the IRA account to the non-retirement account) and you need a categorized transaction (to record taxable retirement income). Transfers are not — or should not be — income. (In the current Quicken Mac, there is a way to get a transfer to have a category, but it messes up some reports and because it goes against the rules of accounting, the product manager has said that senior management has decided they will block this capability in the future.)

Thus you need to do the transfer, and then additionally (separate transaction or two additional split lines in the same transaction) create the income and offset it with a split to the Adjustment category, which essentially lets you create income out of nowhere. @jobworker You show the correct Category to use to recognize the taxable income; however, you still need to offset it with the Adjustment in the opposite direction so the dollar amount isn't double counted (once from the transfer, once from the income) in your checking or money market account. 

Shirley Winkler said:

I'm not certain I like NOT reflecting a transfer from the Retirement Account into the Checking Account though which the other option provided.

You  definitely should have a transfer from the retirement account to the checking or money market account which received the withdrawal. If you don't use Quicken;'s tax report, that's all you need. But if you do use Quicken's tax report, you need the additional offsetting Income/Adjustment "trick" to make this show up as taxable income without further affecting your account balances.