Clark, a 40-year-old single taxpayer, contributed $25,000 to a commercial annuity in 2015. The annuity is a nonqualified plan. In 2019, before the annuity start date, Clark took a nonperiodic distribution of $2,500 and used the money to pay off his credit card debt. If the value of the annuity at the time of the distribution was $30,000, how much of the distribution is taxable?

$0

$417

$500