Question
Todd, age 60, has made contributions of $75,000 to his traditional IRA, of which $15,000 were nondeductible contributions. He is in the 22% federal tax
Todd, age 60, has made contributions of $75,000 to his traditional IRA, of which $15,000 were nondeductible contributions. He is in the 22% federal tax bracket this year. How much will Todd owe in income taxes and penalties if he takes a distribution of $20,000 this year and the IRA is worth $175,000?
| a. | $5,852. | |
| b. | $4,023. | |
| c. | $1,100. | |
| d. | $0. |
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Global Corporate Finance A Focused Approach
Authors: Suk Hi Kim, Kenneth A Kim
2nd Edition
9814618004, 9789814618007
