What is the tax consequence of amounts received from a Traditional IRA after the money was left in the tax-deferred account by the beneficiary

What is the tax consequence of amounts received from a Traditional IRA after the money was left in the tax-deferred account by the beneficiary


A) Capital gains tax on distributions plus 10% penalty.

B) Income tax on distributions and no penalty.

C) Income tax on distributions plus 10% penalty.

D) Capital gains tax on distributions and no penalty



Answer: B

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